Jamb Accounting Past Questions For Year 1994
Question 1
Antics Electronic Company recently bought six generators. Which of the following is the correct method of recording this transaction?
- A. Debit generator account and credit cash account
- B. Debit purchases account and credit cash account
- C. Debit cash accounts and credit purchases account
- D. Debit cash account and credit generator account
Question 2
Accounting information is used by investors and creditors of a company to predict
- A. future cash flows of the company
- B. future tax payments of the company
- C. potential merger candidates for the company
- D. appropriate remunerations for the company's staff
Question 3
The accounting convention which states that profit must not be recognized until realized while all losses should be adequately provided for it termed
- A. materiality
- B. objectivity
- C. consistency
- D. conservatism
Question 4
Assigning revenues to the accounting period in which goods were sold or services rendered and expenses incurred is known as
- A. passing of entries
- B. consistency convention
- C. matching concept
- D. adjusting for revenue
Question 5
The term "accounting period" is used to refer to the
- A. time span during which taxes are paid to the inland revenue board
- B. budget period, usually one year, relied on by the accountant
- C. time span, usually one year, covered by financial statement
- D. period within which debtors are expected to settle accounts
