Final accounts of companies - Jamb Accounts - Principles of Accounts Past Questions and Answers

Question 6:

• JAMB 1998

Granada Corporation has net assets of N600,000 and contributed capital of N180,000. The corporation has 30,000 shares of common stock outstanding with no preferred stock. This suggest that the corporation has?

A. A book value of N14 per share
B. A book value of N20 per share
C. A deficit of N420,000
D. Retained earnings of N600,000

Question 7:

• JAMB 2001

Use the information below to answer question.
Given:
Fixed assets N85,600
Sales N197,000
Stock N34,300
Salaries N37,000
Purchases N127,700
Share capital N120,000
Creditors N16, 050
Motor expenses N10,500
Debtors N25,000
What is the cash balance?

A. N12,095
B. N12,590
C. N12,905
D. N12,950

Question 8:

• JAMB 2001

Use the information below to answer question.
Given:
Fixed assets N85,600
Sales N197,000
Stock N34,300
Salaries N37,000
Purchases N127,700
Share capital N120,000
Creditors N16, 050
Motor expenses N10,500
Debtors N25,000
Determine the total of the trial balance?

A. N335,050
B. N333,050
C. N323,050
D. N230,550

Question 9:

• JAMB 2001

Hauwa Ltd bought 10bags of rice for N500 each.
The company was given 5% AND 12% trade and cash discounts respectively. What will be recorded as discount received in the company's book?

A. N250
B. N570
C. N600
D. N850

Question 10:

• JAMB 2001

Given:
Authorized Capital: N
100,000 ordinary shares of N 1 eash
Issued and fully paid:
50,000 ordinary shares of N 1 each 50,000
10, 000 8% perference shares
of N 1 each
Reserves 10,000
Creditors 25,000
Debtors 13 000
Cash in hand 5000
Determine the net current assets

A. N 43,000
B. N 28,000
C. N13,000
D. N3,000