Jamb Accounts - Principles of Accounts Past Questions and Answers

Question 316:

• JAMB 2001

Given:
Club trading profit N12,000
Members'' subscription N15,000
Profit on sale of fixed assets N2,500
Loss on sale of investments N1,000
Wages N16,500
Other expenses N10,000
Determine the club''s excess of income over expenditure?

A. N500
B. N1,500
C. N2,000
D. N2,500

Question 317:

• JAMB 2001

The excess of income over expenditure is usually transferred to the?

A. Accumulated fund
B. Profit and loss account
C. Current assets in the balance sheet
D. Current liabilities in the balance sheet

Question 318:

• JAMB 2001

Partners' salaries and drawings are usually posted to the?

A. Trading account
B. Current account
C. Capital account
D. Partners' account

Question 319:

• JAMB 2001

Marhumu and Yusuf are in partnership sharing profits and losses in the ratio of 2:1. On 31/3/2000, the partnership decided to admit Idris who is to take 1/4 of future profits without changing the ratio of Marhumu and Yusuf.
What is the new profit-sharing ratio of Marhumu and Yusuf?

A. 50% : 25%
B. 50% : 20%
C. 25% : 50%
D. 25% :25%

Question 320:

• JAMB 2001

If a partner pays a premium of N500 for 1/5 share of profit, then the total value of goodwill is?

A. N500
B. N2,000
C. N2,500
D. N3,000