Jamb Accounts - Principles of Accounts 2014 Past Questions and Answers

Question 36:

• JAMB 2014

In the absence of a partnership deed, the act stipulates that

A. An amount should be fixed as salary for partners
B. Interest on partners loan should be 25%
C. Interest should not be allowed on partners drawings
D. Profits and losses should not be shared equally

Question 37:

• JAMB 2014

The profit of a branch is usually credited to the

A. Adjustment account
B. Head office sales
C. Head office goods account
D. Head office current account

Question 38:

• JAMB 2014

Where partnership is converted into a limited liability company, current account balances of partners are transferred to a

A. Realization account
B. Savings account
C. Share capital account
D. Capital account

Question 39:

• JAMB 2014

The expenses incurred in purchasing a vehicle is a

A. Revenue expenditure
B. Capital expenditure
C. Recurrent expenditure
D. Concurrent expenditure

Question 40:

• JAMB 2014

Payment for shares in excess of amount offered gives rise to

A. Subscription in advance
B. Revenue reserves
C. Capital reserves
D. Calls-in-advance