Jamb Accounts - Principles of Accounts Past Questions and Answers

Question 726:

• JAMB 2009

In a partnership account, conversation of non-cash assets into cash is referred to as?

A. Realization
B. Disposal
C. Dissolution
D. Revaluation

Question 727:

• JAMB 2009

Use the information below to answer questions below;
A company advertised and issued N750,000, 12% preference shares of N1 each to be issued at N1.50 per share. Applications for N1,370,000 were received at 30k per share. 70k per share (including premium) was due om allotment while 25k per share was due on each of the remaining two calls. All amounts due were received . Application money for 120,000 shares was refunded to unsuccessful applicants were allotment shares on pro-rata basis.
The share premium account would be?

A. Credited with application and allotment N187, 500
B. Debited with appllication and allotment N375,000
C. Credited with application and allotment N375, 000
D. Debited with application and allotment N187, 500

Question 728:

• JAMB 2009

Use the information below to answer questions below;
A company advertised and issued N750,000, 12% preference shares of N1 each to be issued at N1.50 per share. Applications for N1,370,000 were received at 30k per share. 70k per share (including premium) was due on allotment while 25k per share was due on each of the remaining two calls. All amounts due were received . Application money for 120,000 shares was refunded to unsuccessful applicants were allotment shares on pro-rata basis.
The second and final call account was debited with?

A. Ordinary share capital account N187,500
B. 12% preference share capital N375,000
C. Bank account N187,500
D. 12% preference share capital account N187,500

Question 729:

• JAMB 2009

Provision for bad and double debts in companies final accounts is treated in?

A. Trading account
B. Profit and loss account
C. Fund flow statement
D. Cash flow statement

Question 730:

• JAMB 2009

The book value per share is obtained by dividing?

A. Shareholders equity by outstanding shares
B. Total assets by outstanding shares
C. Gross profit by outstanding shares
D. Net profit by outstanding shares