Principle of Accounts 2018 Past Questions | JAMB

Study the following Principle of Accounts past questions and answers for JAMBWAEC  NECO and ICAN. Get prepared with official past questions and answers for upcoming examinations.

21. The amount paid by the new partner on admission as a compensation for the reputation built up by old partners is a

  • A. Bonus
  • B. Good will
  • C. Premium
  • D. Commission



Stock at branch 1st January at cost 


Goods sent to branch at cost


Returns to head office


Cash sales


Stock at branch 31st December at cost



Use the information below to answer the question.

  Adex Ltd. Issues stock to its retail branches at cost price. The following particulars relate to Ede branch.

  • A. #1870
  • B. #1530
  • C. #1640
  • D. #1820

23. Which of the following methods of invoicing goods to branches facilitate easy checks on the activities of branches?

  • A. Selling price
  • B. Fixed percentage on cost
  • C. Cost price
  • D. Invoice price

24. When goods are sent to branch at cost plus mark up, it means that the branch should sell at_____________

  • A. Price above or below the stipulated price
  • B. Any price but not below the transfer price
  • C. Cost price
  • D. A price that is equal to the mark up

25.  In departmental accounting, which is not a transfer pricing_________

  • A. cost based transfer price
  • B. market based transfer pricing
  • C. Dual pricing system
  • D. peak pricing

26.  What act generally includes completing unfinished partnership business, collecting and paying debts, collecting partnership assets to be turned into cash and taking inventory?

  • A. Formation
  • B. dissolution
  • C. winding up
  • D. termination

27. Using the following:

  Balance as par overdraft of the cashbook is ₦4000 ,uncredited cheque is ₦2300, bank charges ₦300, unpresented cheque ₦5000.

  what is the adjusted cashbook balance?

  • A. 4000
  • B. 300
  • C. 4300
  • D. 5000

28. Branch stock adjustment account is prepared at?

  • A. Cost price
  • B. new price
  • C. invoice price
  • D. normal price

29. A partnership deed is used to____________

  • A. Promote mutual understanding
  • B. Enhance mistrust
  • C. Encourage discrepancy
  • D. Control funds

30. The cost price method is applicable when_____

  • A. Goods are sold at specific prices
  • B. goods are perishable
  • C. goods attract different gross profit percentage
  • D. to disclose gross profit or loss
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