Jamb Accounts - Principles of Accounts Past Questions and Answers

Question 756:

• JAMB 2010

If a company values its stock in the period of rising prices using LIFO method, there is a tendency for it to?

A. Have a higher cost of goods sold
B. Have a higher gross profit
C. Pay higher gross profit
D. Have a higher value for closing stock

Question 757:

• JAMB 2010

Use the information below to answer questions 23 and 24.
............................31/12/07.......31/12/08
Stocks........................N4 200.........N3 900
Rates in advance..............N1 000.........N1 500
Accrued wages.................N1 150.........N1 350
Cost of goods sold was valued at N6 000.
Cash paid for rates and wages during the year was N1 300 and N2 200 respectively.
What is the value of purchases for the year 2008?

A. N6 000
B. N9 900
C. N14 100
D. N5 700

Question 758:

• JAMB 2010

Determine the total expenses to be charged to profit and loss account?

A. N2 350
B. N1 600
C. N800
D. N3 150
E. NO OPTION

Question 759:

• JAMB 2010

Use the information below to answer questions 25 and 26.
........................31/12/08...........31/12/09
Furniture and fittings..N21 000,............N28 000
Office equipment........N9 800,.............N13 200
Debtors.................N6 800,.............N5 200
Creditors...............N4 900,.............N5 100
Cash at bank............N7 000,.............N4 600
Accrued electricity bills...................N1 200
Monthly drawings average N330.
Find the opening capital?

A. N39 700
B. N35 900
C. N35 740
D. N43 660

Question 760:

• JAMB 2010

Use the information below to answer questions
........................31/12/08...........31/12/09
Furniture and fittings..N21 000,............N28 000
Office equipment........N9 800,.............N13 200
Debtors.................N6 800,.............N5 200
Creditors...............N4 900,.............N5 100
Cash at bank............N7 000,.............N4 600
Accrued electricity bills...................N1 200
Monthly drawings average N330.
Determine the net profit ?

A. N5 000
B. N3 960
C. N1 040
D. N8 960