Interpretation of accounts using ratios - Jamb Accounts - Principles of Accounts Past Questions and Answers

Question 6:

• JAMB 1997

The acid test ratio in the company is

A. 1:1
B. 1:2
C. 2:3
D. 3:2

Question 7:

• JAMB 1998

To compute gearing ratio, divide?

A. Profit by capital employed
B. Current assets by current liability
C. Profit by total assets
D. Long-term debts by equity capital

Question 8:

• JAMB 1999

Use the information below to answer the question
The quick ratio is

A. 0. 82: 1
B. 0. 91:1
C. 0.95:1
D. 1:53:1

Question 9:

• JAMB 2000

Use the information below to answer question Maimalari Ltd had (i) Earning per share 47k (ii) Dividend per share 30k (iii) Par value of each share N1.20 (iv) Market price per share N1.50
What will be the price earnings ratio of the company?

A. 3.91
B. 3.19
C. 2.95
D. 2.55

Question 10:

• JAMB 2002

Use the information below to answer question .
Statement of assets and liabilities as at 31st December, 2001.
Shareholders' interest N240
Current liabilities N20
Current assets N110
Fixed assets N140
What is the networking capital?

A. N90m
B. N70m
C. N100m
D. N80m