Jamb Accounting Past Questions
Question 16
The measure of a company's ability to pays its debts quickly is called
- A. Current ratio
- B. turnover ratio
- C. acid test ratio
- D. return of investment
Question 17
A total of 400,000 shares of N1 each are to be issued by Sariki Company Ltd at a price of N1.20 per share.
Applications were received for 600,000 shares out of which 100,000 were dishonored. If the available shares were distributed pro-rata, what refund would be due to a subscriber who applied for 5,000 shares?
- A. N1,000
- B. N1,200
- C. N4,800
- D. N6,000
Question 18
Which of the following ratios gives an idea of the liquidity of a firm?
- A. Turnover ratio
- B. Quick ratio
- C. Debit ratio
- D. Dividend yield
Question 19
The conversion of a partners business into a limited liability company affords the
- A. general partners the chance of enjoying the limited laibility protection
- B. limited liability partners the chance of enjoying the limited liability protection
- C. Creditors the chance of enjoying the limited liabiity protection
- D. debtors the chance of enjoying the limited liability protection
Question 20
Halidu and Hamed are business partners with N30,000 and N20,000 capital respectively. At the end of the financial year, a profit of N12,000, which included Halidu's salary of N3,000 was made.
Hamed's share of the profit should be
- A. credited to partners' capital account
- B. credited to partners' current account
- C. credited to appropriation account
- D. debited to partners' drawing account
