Accounting

In the period of rising prices; which method of stock valuation is most appropriate?

A. Last in First Out B. weighted average C. First in First Out D. Simple average Correct Answer: Option A…

5 years ago

Which fund is used to meet unforeseen or urgent expenditure?

A. General reserve fund B. Consolidated Reserve Fund C. contingencies fund D. special fund Correct Answer: Option C - contingencies…

5 years ago

If the gross profit is N5000; what is the net profit?

N Debtors opening 4000  Debtors closing 1500  Cash received from debtors 8500  Bad debts written off 350  Discount allowed 500 …

5 years ago

You add the following when starting with the balance as per cash book when preparing the bank reconciliation statement except?

A. Unpresented B. Dividend C. Uncredited cheque D. credit transfer Correct Answer: Option C - Uncredited cheque Explanation Uncredited cheque:…

5 years ago

The item on the credit side of the purchases ledger control account includes?

Given: I. Cash refunds II. Debit note issued III. Dishonored cheque IV. Purchases A. I, II and III only B.…

5 years ago

In manufacturing account; depreciation of office machine is charged to?

A. trading account B. appropriation account C. balance street D. profit and loss account Correct Answer: Option D - profit…

5 years ago

The account where the profit are distributed to the partner in their profit sharing ratio in partnership?

A. trading account B. appropriation account C. balance sheet D. profit and loss account Correct Answer: Option B - appropriation…

5 years ago

Capital for a profit making organization is generated through?

A. Subscription B. shares C. donation D. gift Correct Answer: Option B - shares Explanation Share: profit making organizations use…

5 years ago

Which of these accounts is dissolution expenses credited?

A. partners capital account B. revaluation account C. partners current account D. Realization account Correct Answer: Option D - Realization…

5 years ago

If bad debts are calculated at the rate of 1/20% of annual credit sales; what was the credit sales for the period?

A provision for bad debt account had N33,800 at the beginning of the year and N4,220 at the close of…

5 years ago