Objectives of Not-For-Profit-Making organizations - 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 1998

A non-profit-making organization differs from a profit-making one in that?

A. It does not earn income
B. Proceeds from sale of shares form part of its income
C. All its income is committed
D. Annual subscriptions and levies form part of its income

Question 3:

• JAMB 2011

The major festure of not-for-profit-making-organization is that they are formed?

A. To use accumulated fund to described the net amount owed to members
B. Mainly to improve the welfare of her member
C. To engaged in trading activities to sponsor its activities
D. In order to compute the receipts and payment account