Jamb Accounts - Principles of Accounts Past Questions and Answers

Question 1031:

• JAMB 2015

If sales return is understated, it implies that ------------------------------ is overstated

A. Return inward
B. Sales figure
C. Cost of sales
D. Return outward

Question 1032:

• JAMB 2015

Accounting information is used by investors and creditors of a company to predict

A. Potential merger candidates for the company
B. Appropriate remunerations for the company’s staff
C. Future cash flows of the company
D. Future tax payments of the company

Question 1033:

• JAMB 2015

Use the information below to answer this question.
\(\begin{array}{c|c}
\hline & \text{Dept A} & \text{Dept B} \\
\hline
\text{Sales} & 180,000 & 150,000 \\
\hline
\text{Cost of sales} & 79,000 & 85,000 \\
\hline
\text{Expense} & 28,000 & 40, 000 \\
\end{array}\)
How much is the gross profit for department A?

A. N101,000
B. N73,000
C. N79,000
D. N152,000

Question 1034:

• JAMB 2015

An advantage of using accounting ratios is that

A. Can be easily calculated
B. Show errors and frauds
C. Facilitate decision making
D. Are stipulated by law

Question 1035:

• JAMB 2015

The document setting out the regulations regarding shares, meetings and internal organization of a company is known as

A. Prospectus
B. Memorandum of association
C. Company law
D. Articles of association