Jamb Accounts - Principles of Accounts 1997 Past Questions and Answers

Question 46:

• JAMB 1997

The acid test ratio in the company is

A. 1:1
B. 1:2
C. 2:3
D. 3:2

Question 47:

• JAMB 1997

If goods are invoiced to the branch at cost and the invoice par value is N 2 000 with 5%discount rate, can remitted to the head office is

A. N2 100
B. N 200
C. N 1 900
D. N 100

Question 48:

• JAMB 1997

Which of the following are advantages of departmental accounts?
I. The department making the highest profit can be easily determined
II. The capital of the business can be calculated easily
III. Easy knowledge of the sources of funding
IV. Encouragement of healthy rivalry among the various departments

A. I and IV only
B. II and III only
C. II and IV only
D. III and IV only

Question 49:

• JAMB 1997

Public sector accounting is based on

A. Cash
B. Accrual
C. Budget
D. Consolidated fund

Question 50:

• JAMB 1997

The end result of governmental accounting procedure is to

A. Keep proper records of government expenditures
B. Give financial information to the public and investors
C. Produce timely and accurate financial reports for legislators and the public
D. Give information on the performance of public enterprises