Introduction to Company Accounts - Jamb Accounts - Principles of Accounts Past Questions and Answers

Question 51:

• JAMB 2003

The necessary accounts to be opened on the issue of ordinary share capital are?

A. Preference share capital, cash and allotment accounts
B. Bank and ordinary share capital accounts
C. Cash and ordinary share capital accounts
D. Nominal value and ordinary share capital accounts

Question 52:

• JAMB 2003

Mamsa Nigeria Limited issued 20 000 ordinary shares of N1.50 per share on 2nd July 2002.
1500 ordinary shares were fully subscribed for and their monies received as below:
On application .........................N0.40
On allotment ...........................N0.20
First call (including premium ofN0.50)..N0.70
What is the balance of the ordinary share capital account after the first call was received?

A. N300
B. N1050
C. N1200
D. 1950

Question 53:

• JAMB 2003

Use the information to answer this question.
..............ZEBRA PLC..............
.............Balance sheet as at 31st March, 2002
...............N...............N............N......
Capital......100,000...Fixed assets:
Current................Land &..................
Liabilities...........buildings..50,000......
Creditors........30000..Furniture..10,000....60,000
.......................Current..................
.......................Assets: .......
..................Stock .........30,000...........
..................Debtors.......30,000.............
..................Cash..........10,000......70,000..
.............130,000.........................130,000
The business was acquired on 1st April, 2002 at a purchase consideration of N120,000 by SOZ. All assets and liabilities were taken over except the cash to open the new firm's bank account additional N20,000 was paid into the bank.
Calculate the network of the business

A. N120,000
B. N90,000
C. N80,000
D. N30,000

Question 54:

• JAMB 2003

Use the information below to answer this questions
Capital..................N............N........
Land and building.......18470........24000....
Mortgage on premises...................11090...
Drawings...............3000...................
Profit and loss........................3600...
Furniture and fittings...5120.................
Motor Vehicles...........3462................
Closing Stock............3000................
Debtors..................11474...............
Creditors..............................7354.
Cash.....................1518................
..........................46044.........46044
What is the capital employed?

A. N44 600
B. N43 052
C. N43 044
D. N38 600

Question 55:

• JAMB 2004

Debentures can be redeemed out of?

A. Existing share capital reserve
B. Existing general reserve
C. Proceeds from new issue of shares
D. Withholding tax