Adjustments - Jamb Accounts - Principles of Accounts Past Questions and Answers

Question 36:

• JAMB 2006

Use the information below to answer questions .
On January 1/2005, a machine was bought for N56,000 to last for five years with a residual value of N1000.
the rate of the yearly depreciation expense would be?

A. 50%
B. 40%
C. 30%
D. 20%

Question 37:

• JAMB 2007

Use the information below to answer question
An asset was purchase for N343m in 2003.
The estimated life of the asset was 3 years with a residual value of N28m.
Using the straight method. The depreciation of the asset in the first year was?

A. N210m
B. N343m
C. N105m
D. N270m

Question 38:

• JAMB 2007

Use the information below to answer question
An asset was purchase for N343m in 2003.
The estimated life of the asset was 3 years with a residual value of N28m.
What was the asset value at the beginning of the third year?

A. N63m
B. N133m
C. N36m
D. N28m

Question 39:

• JAMB 2007

Use the information below to answer question
Debtors.................................N20
Provision for bad debts..................10%
Provision for discount on debtors........5%
Determine the amount provided for discount allowed on debtors?

A. N1000
B. N3000
C. N900
D. N1500

Question 40:

• JAMB 2007

Use the information below to answer question .
Debtors.................................N20
Provision for bad debts..................10%
Provision for discount on debtors........5%
The provision for bad debt is?

A. N2000
B. N800
C. N3000
D. N1900