Jamb Accounts - Principles of Accounts Past Questions and Answers

Question 541:

• JAMB 2006

Use the information below to answer questions .
On January 1/2005, a machine was bought for N56,000 to last for five years with a residual value of N1000.
Calculate the yearly depreciation expense using the straight line method.

A. N11 000
B. N11 200
C. N11 400
D. N11 300

Question 542:

• JAMB 2006

Use the information below to answer questions .
On January 1/2005, a machine was bought for N56,000 to last for five years with a residual value of N1000.
the rate of the yearly depreciation expense would be?

A. 50%
B. 40%
C. 30%
D. 20%

Question 543:

• JAMB 2006

The objective of the purchase ledger control account is to established the?

A. Credit purchases
B. Net profit
C. Total purchases
D. Gross profit

Question 544:

• JAMB 2006

The objective of a trading account is to establish the?

A. Cost of goods sold
B. Gross profit
C. Manufacturing profit
D. Net profit

Question 545:

• JAMB 2006

A seller of vegetables and fruits should be encouraged to value his stock at the end of a period using the?

A. Weighted average method
B. Simple average method
C. FIFO method
D. LIFO method