Accouting

An ordinary share of ₦100 was issued at ₦80. The share was issued at?

A. premium B. par C. discount D. loss Correct Answer: Option C C. discount Explanation Share issued at discount is…

5 years ago

Discount received is charge to?

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

5 years ago

The drawings for the period stand at?

Given: ₦ Additional capital 4000 Capital 8000 Closing capital 12000 Net profit  1500 A. 1500 B. 3000 C. 12,000 D.…

5 years ago

The purpose of profit and loss account is to ascertain?

A. Gross profit B. Capital C. Expenses D. Net profit Correct Answer: Option D D. Net profit Explanation The profit…

5 years ago

A rent of ₦50,000 was paid by samson to his landlady by cheque. The double entry in Samson’s book is?

A. Debit rent account, Credit bank account B. Debit Rent account, Credit Samson's account C. Debit Bank account, Credit Rent…

5 years ago

The difference between double entry and single entry is?

A. double entry is based on the dual concept while single entry is not based on dual concept B. double…

5 years ago

The rules of double entry states that?

A. for every debit entry, there must be a corresponding debit entry B. for every credit entry, there must be…

5 years ago

A proprietor withdraws cash from the business for private use, he?

A. credits cash account and debits bank account B. credits cash account and debits drawing A/C C. debits cash account…

5 years ago

Bought motor vehicle ₦60 paying by cheque. The effect of the transaction will be?

A. Increase in assets of motor vehicle account B. Decrease in assets of motor vehicle account C. Increase in assets…

5 years ago

Majority of commercial transactions are termed credit transactions, which means?

A. The buyers pay immediately for goods bought B. Settlement is deferred to a future date C. No account will…

5 years ago