Departmental trading and profit and loss account - Jamb Accounts - Principles of Accounts Past Questions and Answers

Question 1:

• JAMB 1994

The term "accounting period" is used to refer to the

A. Time span during which taxes are paid to the inland revenue board
B. Budget period, usually one year, relied on by the accountant
C. Time span, usually one year, covered by financial statement
D. Period within which debtors are expected to settle accounts

Question 2:

• JAMB 1995

Departmental accounts re maintained to ascertain the

A. Profits of the entire organization
B. Contribution of each department
C. Expenses of each department
D. Sales of each department

Question 3:

• JAMB 1997

Which of the following are advantages of departmental accounts?
I. The department making the highest profit can be easily determined
II. The capital of the business can be calculated easily
III. Easy knowledge of the sources of funding
IV. Encouragement of healthy rivalry among the various departments

A. I and IV only
B. II and III only
C. II and IV only
D. III and IV only

Question 4:

• JAMB 1999

Use the information below to Answer questions 46 and 47.
Among Limited invoiced goods at a cost of N10,000 to its Ikeja branch at a marginal of 20%. The branch later returned goods worth N1,200 at invoice price to the head office.
The profit marginal should be?

A. Debit to goods sent to branch account
B. Debit to branch stock adjustment account
C. Credit to branch adjustment account
D. Credit to branch stock adjustment account

Question 5:

• JAMB 2001

X and Y are two departments that are to share 50% of all joint costs equally and the balance in ratio 2:1. If a sum of N150,000 is incurred jointly, what will be the portion attributable to X?

A. N37,500
B. N62,500
C. N87,500
D. N100,000