Partnership Accounts - Jamb Accounts - Principles of Accounts Past Questions and Answers

Question 86:

• JAMB 2014

Where partnership is converted into a limited liability company, current account balances of partners are transferred to a

A. Realization account
B. Savings account
C. Share capital account
D. Capital account

Question 87:

• JAMB 2015

Use the information below to answer this question.
Buhari and Osinbajo are in partnership with the following partnership agreement
Buhari Osinbajo
Capital 40, 000 70, 000
Salary 10, 000 15, 000
Int.on capital 5% 5%
Profit/loss sharing ratio 40 : 60
The net profit for the year ended is N80,000.
"Drawings are N80, 000 and N12, 000 for Buhari and Osinbajo respectively"
What is Osinbajo share of profit?

A. N19, 800
B. N49, 500
C. N48, 000
D. N29, 700

Question 88:

• JAMB 2015

The major distinguishing element between the final account of a partnership and that of a sole trader is the

A. Drawing account
B. Capital account
C. Creditor account
D. Appropriation account

Question 89:

• JAMB 2015

Use the information below to answer this question.
Timo and Chris are computer engineers who went into partnership as Teachi and Co. Timo brought cash of N12,000 furniture worth of N18,000 and vehicle worth of 70,000. Chris equally brought in cash of 10,000 his building valued at 105,000 and personal computers worth N35,000.
What is the profit sharing ratio if it’s based on capital contribution by Teechi and Co?

A. 2 : 3
B. 3 : 2
C. 6 : 5
D. 5 : 6

Question 90:

• JAMB 2015

If the partnership agreement does not specify how net profit is to be divided, the profit should be divided
.

A. Equally
B. In accordance with an established
C. In proportion of current account balances
D. In proportion of weighted average of capital