Jamb Accounts - Principles of Accounts Past Questions and Answers

Question 11:

• JAMB 1994

The use of the folio in the ledger is for

A. Referencing purposes
B. Particulars of the transaction
C. The account titles
D. Only credit items

Question 12:

• JAMB 1994

The suspense account is used to correct book-keeping error where the

A. Amount involved is quite significant
B. Item involved is not material
C. Item involved is unknown
D. Error does not affect the agreement of the trial balance

Question 13:

• JAMB 1994

The discount column of a three column cashbook is not balanced off but periodically transferred to the discount account because discounts

A. Are not important in cashbooks
B. Are cash items only
C. Do not form part of double entry
D. Are used for bank reconciliation

Question 14:

• JAMB 1994

When is a petty cash account debited?

A. When the fund is established and every time money is spent
B. When the fund is established and every time it is replenished
C. When the fund is established and when the size of the float is decreased
D. Every time money is drawn from the petty cash

Question 15:

• JAMB 1994

When preparing a bank reconciliation statement, which of the following is deducted from the balance per bank statement?

A. Bank charges
B. Uncleared cheques
C. Returned cheques
D. Unpresented cheques