Users and characteristics of Accounting information - 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 1994

Accounting information is used by investors and creditors of a company to predict

A. Future cash flows of the company
B. Future tax payments of the company
C. Potential merger candidates for the company
D. Appropriate remunerations for the company's staff

Question 3:

• JAMB 1997

Creditors use Accounting information for the purpose of

A. Planning sales to a company
B. Controlling a company's affairs
C. Investing in a company
D. Assessing a company's liquidity

Question 4:

• JAMB 2003

Verifiability in accounting is only possible when there are?

A. Minutes of meetings
B. Payment vouchers
C. Source documents
D. Audit certificates

Question 5:

• JAMB 2008

A financial analyst needs accounting information to?

A. Maintain the production section of the business
B. Know why transactions cause increase and decreases in assets
C. Advise on how to manage the business
D. Know how to record transaction in T account