In dealing with incomplete record, fixed assets are posted to___________-

Closing balance sheet as brought forward figure

Profit and loss account as brought forward figure

Closing balance sheet as carried forward figure

Closing balance sheet as brought forward figure

Profit and loss as carried forward figure

The accounting entries used to record a cheque issued by a business is to?

debit cash book and credit drawer

credit cash book and debit drawer

debit cash book and credit suspense account

credit cash book and debit suspense account

In the absence of a partnership deed, the act stipulates that____________

Interest should not be allowed on partners drawings

An amount should be fixed as salaries for partners

Profits and losses should not be shared equally

Interest on partner’s loan should be 25%

Interest should not be allowed on partners drawings

The control account is used in facilitating?

the various location of errors in the various accounts

the payment of debts and liabilities of the firm

assets distribution with respect to income

The major source of document which enables employer to calculate the employee wages is the?

records of number of hours worked

Record of independence per employee

The partnership deed normally specifies?

how profits or losses are to be shared

the capital to be contributed annually

how salaries are paid to employees

the profit that should be earned annually

JAMB UTME - Principles of Accounts - 2018

Question 1 Report

Cost of rent as an expense can be apportioned to all department on the basis of:

No of employees

stock value

space occupied

wages

Answer Details

The cost of rent can be apportioned to all departments on the basis of the space occupied by each department. For example, if a company has three departments and Department A occupies 40% of the total office space, Department B occupies 30%, and Department C occupies 30%, then the cost of rent can be apportioned accordingly. If the total cost of rent is $10,000 per month, then Department A would be responsible for $4,000 (i.e., 40% of $10,000), Department B would be responsible for $3,000 (i.e., 30% of $10,000), and Department C would be responsible for $3,000 (i.e., 30% of $10,000). This method of apportionment is fair because each department is responsible for the amount of space it occupies and therefore the amount of rent it incurs. Using other criteria such as the number of employees, stock value or wages, may not accurately reflect the actual amount of space used by each department and could lead to unfair distribution of rent expenses.

	N
sales	20,000
cost of sales	10,000
operating expenses	2,500
expenses prepaid included in operating expenses	500

	₦			₦
Opening Stock	32,000		Sales	48,000
Purchases	40,000		Less Return	2,000
Carriage inwards	1,000
		41,000
Less Return	2,000	39,000
Cost of goods available		??
Less closing stock		9,000
Cost of goods sold		??

N
Purchase ledger opening balance	4,000
sales ledger opening balance	6,000
credit purchase	25,000
Discounts allowed	1,000
Returns inwards	2,000
Credit sales during the year	10,000
Return outwards	6,000

	₦
Stock at branch 1st January at cost	400
Goods sent to branch at cost	8000
Returns to head office	340
Cash sales	9160
Stock at branch 31st December at cost	720






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