Stock Valuation - Jamb Accounts - Principles of Accounts Past Questions and Answers

Question 26:

• JAMB 2011

Use the information above to answer questions 19 and 20.
July 30 Closing stock 100 units at N90
July 8 Purchased 200 units at N95
July 10 Sold 160 units
July 17 Returned 80 faulty units purchased at N95
July 18 Purchased 200 units at N105
July 20 Sold 180 units
July 28 Purchased 200 units at N110
July 29 Sold 120 units
July 30 Sold 100 units
How many units were at hand as at July 30?

A. 80
B. 100
C. 60
D. 160

Question 27:

• JAMB 2011

What is the value of stock as at the end of July 10 using FIFO?

A. N14 400
B. N13 300
C. N15 200
D. N12 600

Question 28:

• JAMB 2011

The cost method of charging goods to branch is used where?

A. Branch stock adjustment account is in use
B. The retention of branch trading account is in addition to the cost of goods sold
C. Goods are sent without invoice or any source documents
D. Goods are of a perishable nature on which a pre-determined price is inapplicable

Question 29:

• JAMB 2012

1/5/07 Purchased 100 bags of milk at #10.00k each
3/5/07 Purchased 60 bags of milk at #11.50k each
15/5/07 Issued 85 bags of milk
15/5/07 Purchased 180 bags of milk at #12.80K each
22/5/07 Issued 145 bags of milk.
Using FIFO method, what would be the value of stock as at 9/5/07?

A. #862.50
B. #840.00
C. #806.25
D. #750.00

Question 30:

• JAMB 2012

1/5/07 Purchased 100 bags of milk at #10.00k each
3/5/07 Purchased 60 bags of milk at #11.50k each
15/5/07 Issued 85 bags of milk
15/5/07 Purchased 180 bags of milk at #12.80K each
22/5/07 Issued 145 bags of milk.
Using simple average method, calculate the value of stock after 22/5/07

A. #1,198.00
B. #1,218.38
C. #1,257.67
D. #1,408.00