Post Utme Accounts - Principles of Accounts Past Questions and Answers

Question 76:

Partners’ share of profit is credited to _____

A. A partner’s current account
B. A partner’s capital account
C. The profit and loss account
D. The profit and loss appropriation account

Question 77:

Which of the following is a strong featureof partnership?

A. The life of the partnership is generallyassumed to be indefinite.
B. The owners are liable personally for alldebts of the business.
C. The transfer of ownership interest is
frequent and easy to accomplish
D. The partnership is complex to form
because of many legal and reporting
requirements.

Question 78:

A bond, acknowledging a loan to a
company under the company’s seal, bearinga fixed rate of interest is known as____

A. Certificate
B. Agreement
C. Bank loan
D. Debenture

Question 79:

Alabede (Nig.) Limited issued 50,000ordinary shares if 1 each at a market value of₦2.50 each, the share premium is _____

A. ₦125,000
B. ₦100,000
C. ₦75,000
D. ₦50,000

Question 80:

All but one of the following are examplesof capital reserves.

A. Share premium
B. Revaluation surplus
C. Pre-incorporation profit
D. Debenture premium