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

Question 16:

• JAMB 2005

Use the information below to answer questions 25 and26.
Zazzau Company:
Cash in hand................N50
Cash in bank................N1 250
Stock.......................N4 880
Furniture...................N9 60
Building....................N5 500
Debtor......................N1 750
Creditors...................N2 150
Drawings of N125 were made by the shareholders of the company.
They company's net current assets amount to?

A. N5 780
B. N5 70
C. N6 580
D. N7 930

Question 17:

• JAMB 2006

Gross earnings........................N950 000
Current liabilities...................N100 000
Operating expenses....................N350 000
10% debentures........................N400 000
Shareholder's fund....................N1300 000
Corporate tax is 30%
From the data above calculate the returns on equity?

A. 33%
B. 35%
C. 20%
D. 30%

Question 18:

• JAMB 2006

Use the information below to answer questions
Turnover...........................N120 000
Net profit before tax..............N40 000
Net profit b/f.....................N68 000
Proposed dividends:
Ordinary shares....................N8 000
Preference shares..................N6 000
Corporate tax is 30%...............N10 000
The undistributed profit carried forward is?

A. N 68 000
B. N 20 000
C. N 74 000
D. N 34 000

Question 19:

• JAMB 2006

Use the information below to answer questions Turnover...........................N120 000 Net profit before tax..............N40 000 Net profit b/f.....................N68 000 Proposed dividends: Ordinary shares....................N8 000 Preference shares..................N6 000 Corporate tax is 30%...............N10 000
What is the tax charged to profit and loss account?

A. N 14 000
B. N 60 000
C. N 34 000
D. N 20 000

Question 20:

• JAMB 2009

Provision for bad and double debts in companies final accounts is treated in?

A. Trading account
B. Profit and loss account
C. Fund flow statement
D. Cash flow statement