Jamb Accounting Past Questions For Year 2006
Question 16
Use the information below to answer questions Turnover...........................N120 000 Net profit before tax..............N40 000 Net profit b/f.....................N68 000 Proposed dividends: Ordinary shares....................N8 000 Preference shares..................N6 000 Corporate tax is 30%...............N10 000
What is the tax charged to profit and loss account?
- A. N 14 000
- B. N 60 000
- C. N 34 000
- D. N 20 000
Question 17
Accrual accounting differs from cash accounting because it recognizes?
- A. cash and creditors
- B. debtors and creditors
- C. cash and debitors
- D. prepayment and cash
Question 18
Use the information below to answer questions
Turnover...........................N120 000
Net profit before tax..............N40 000
Net profit b/f.....................N68 000
Proposed dividends:
Ordinary shares....................N8 000
Preference shares..................N6 000
Corporate tax is 30%...............N10 000
The undistributed profit carried forward is?
- A. N 68 000
- B. N 20 000
- C. N 74 000
- D. N 34 000
Question 19
Gross earnings........................N950 000
Current liabilities...................N100 000
Operating expenses....................N350 000
10% debentures........................N400 000
Shareholder's fund....................N1300 000
Corporate tax is 30%
From the data above calculate the returns on equity?
- A. 33%
- B. 35%
- C. 20%
- D. 30%
Question 20
Adaobi mistakenly entered N7000 as credit sales in Abba's account. This is?
- A. an error of principles
- B. a compensating error
- C. an error of commission
- D. an error omission
