The Final Accounts of a Sole Trader - Jamb Accounts - Principles of Accounts Past Questions and Answers

Question 71:

• JAMB 2004

Given:
Rates paid during the year amounted to N2,250 at N125 per month and 1,035 was paid for electricity in the same period at N115 per month.
Determine the amount of prepaid rates?

A. N345
B. N750
C. N1,380
D. N1,500

Question 72:

• JAMB 2004

Where closing stock is undervalued, the effect is?

A. An increase in gross profit
B. A decrease in gross profit
C. An increase in purchases
D. A decrease in purchase

Question 73:

• JAMB 2004

The beginning and ending accounts receivable balances were N20,000 and N30,000 respectively.
The collection from customers during the period was N70,000. What was the total sale on account?

A. N20,000
B. N60,000
C. N80,000
D. N120,000

Question 74:

• JAMB 2004

Given:
General expenses account.
Paid by cheque..................N671
Paid by cash....................N70
Accrued b/f.....................N65
Accrued c/f.....................N115
Determine how much to be charged to profit and loss account?

A. N606
B. N786
C. N791
D. N856

Question 75:

• JAMB 2004

Use the information below to answer questions 23 and 24.
Beginning inventory............N?
Purchases......................N?
Ending inventory...............N4,800
Sales..........................N12,800
Wages..........................N1,040
Gross profit...................N5,900
The beginning inventory was estimated at 80% of sales.
Determine the amount for the beginning inventory?

A. N20,140
B. N10,240
C. N8,140
D. N7,240