Petty cashbook and the imprest system - Jamb Accounts - Principles of Accounts Past Questions and Answers

Question 11:

• JAMB 2009

Use the information above to answer question
Period 1:
........Cash to petty cashier.............N1000
........Petty cashier pays out............N780
Period 2:
........Petty cashier pays out............N840
If the float is increased to N1200, how much should the petty cashier receive after period 2?

A. 160
B. 840
C. 1000
D. 1040

Question 12:

• JAMB 2009

Use the information below to answer the following questions

Period 1	N
Cash to petty cashier	1000
Petty cashier pays out	780
Period 2
Petty cashier pays out	840

What is the balance of cash with the petty cashier at the end of period 1?

A. 220
B. 780
C. 980
D. 1780

Question 13:

• JAMB 2013

i The amount of the imprest is the same from one organization to another
ii.At the end of a fixed period, the petty cashier received a fixed sum of money.
iii At the end of a period, the petty cashier is reimbursed with the amount spent in that period.
iv The system is a method by which a measure of control is kept on petty cash expenses.
Which of the above is correct about the imprest system?

A. I, ii and iii
B. I, iii and iv
C. I, ii and iv
D. Iii and iv

Question 14:

• JAMB 2014

The major advantage of an imprest system is that it

A. Ensures a proper accountability for every expenditure
B. Trains the young accountants in preparation for greater responsibilities
C. Relieves the cheif cashier of the numerous petty cash payments
D. Serves as an analysis column for every expenses

Question 15:

• JAMB 2014

Petty cash book records transactions on

A. The debit side only
B. The credit side only
C. Both credit and debit sides
D. Reversed entry