Objectives of branch accounts - Jamb Accounts - Principles of Accounts Past Questions and Answers

Question 1:

• JAMB 1994

The term "accounting period" is used to refer to the

A. Time span during which taxes are paid to the inland revenue board
B. Budget period, usually one year, relied on by the accountant
C. Time span, usually one year, covered by financial statement
D. Period within which debtors are expected to settle accounts

Question 2:

• JAMB 2000

(i) Meet growth and diversification need.
(ii) Reach out to particular customers or markets
(iii) Comply with some regulatory directives
(iv) Increase employees' income.
Which of the reasons above do companies consider in establishing branches?

A. I and ii
B. I, ii and iii
C. Ii, iii and iv
D. Iii and iv

Question 3:

• JAMB 2000

Halal Limited with three departments has a total of N7,200,000 as net debtors for the year ended 31/12/97.
The company's policy provides for 15% bad debt annually. Which of the following represents the total balance of debtors before adjustment?

A. N6,120,000
B. N6,120,300
C. N8,280,000
D. 8,820,000

Question 4:

• JAMB 2009

One of the purposes of maintaining the account of a branch at the head office is to?

A. Record charges in shareholdings
B. Record charges in liabilities
C. Check the excesses of customers
D. Check and monitor the growth of individual branches

Question 5:

• JAMB 2017

The following are the importance of branch account except

A. It enable the organization to determine the branch that is making either profit or loss
B. It allows proper control over the branch by the head office
C. It assist the organization to determine the performance of a branch manager
D. It allows fraud and wastage of resources