All practice questions

An enterprise extracts crude oil from offshore rigs, processes it into premium motor spirit at a refinery, and distributes the fuel through tanker fleets to retail outlets. Which division of occupation does the crude oil refining phase belong to?

Match each executive system of government on the left with its corresponding defining characteristic on the right.

Match each character from George Bernard Shaw's prescribed Non-African drama *Arms and the Man* to their corresponding dramatic role or characterization.

International trade relies on specialized commercial instruments to facilitate shipping, customs clearance, and payment security. Pair each foreign trade document listed on the left with its corresponding primary purpose or issuing authority on the right.

Which of the following historical events marked the formal publication and documentation of the double-entry system of bookkeeping in 1494?

Ade and Musa are partners in a trading firm sharing profits and losses in the ratio of $3:2$. Their capital account balances are $\text{₦}80,000$ and $\text{₦}50,000$ respectively. On 1st January, they admit Zainab into the partnership for a $\frac{1}{5}$ share of profits, bringing the new profit-sharing ratio among Ade, Musa, and Zainab to $2:2:1$. Zainab brings in $\text{₦}40,000$ as capital and $\text{₦}10,000$ as premium for goodwill in cash. On admission, the firm's assets are revalued, resulting in a net revaluation profit of $\text{₦}10,000$. What is the balance of Ade's capital account immediately after the admission of Zainab?

A business started the year on 1 January 2024 with a prepaid rent balance of ₦15,000. During the year ended 31 December 2024, the total rent paid by cash was ₦120,000, which included ₦18,000 paid in advance for 2025. Additionally, rent of ₦5,000 for December 2024 was owing at the end of the year. What is the amount to be charged as rent expense in the Profit and Loss Account for the year ended 31 December 2024?

In 1494, the Italian mathematician Fra Luca Pacioli published his treatise titled *Summa de Arithmetica, Geometria, Proportioni et Proportionalita*, which contained a landmark section on accounting known as *Particularis de Computis et Scripturis*. What was Pacioli's primary contribution to accounting in this publication?

The following balances were extracted from the financial records of Unity Recreation Club as at 1st January 2025:

What is the accumulated fund of the club as at 1st January 2025?

Under the Sale of Goods Act, an unpaid seller who is still in possession of the goods has a legal right to retain them until payment of the price is made or tendered by the buyer. Which remedy of the unpaid seller does this action describe?

Department P transfers goods to Department Q at cost plus $20\%$. At the end of the accounting year, Department Q held closing inventory valued at $\text{N}45,000$, of which $80\%$ represents goods transferred from Department P. If the Provision for Unrealized Profit Account had an opening balance of $\text{N}2,500$, what amount should be charged to the General Profit and Loss Account as the net provision for unrealized profit at year end?

Zaria Textiles Plc operates two departments: Weaving and Garment. The Weaving Department transfers fabric to the Garment Department at cost plus a mark-up of $25\%$. At the beginning of the year, the Provision for Unrealized Profit Account had a credit balance of $\text{N}4,000$. At the end of the year, the Garment Department held a total closing inventory valued at $\text{N}75,000$, of which $80\%$ represents transferred fabric from the Weaving Department. What is the net amount to be debited to the General Profit and Loss Account as an adjustment for provision for unrealized profit?

A manufacturing firm specializing in heavy industrial machinery publishes comprehensive brochures and technical articles in trade journals detailing the operational specifications, fuel efficiency ratios, and safety features of its new generator line for civil engineering contractors. Which type of advertising is primarily demonstrated in this campaign?

A head office invoices goods to its dependent branch at cost plus $25\%$. At the end of the financial year, the branch holds closing inventory valued at $\text{N}20,000$ at invoice price. What is the amount of unrealized profit (stock reserve) contained in the closing inventory?

Ade and Ola are partners sharing profits and losses in the ratio of $3:2$. They admit Musa into the partnership, giving him a $\frac{1}{5}$ share of the future profits. If Ade and Ola share the remaining profits in their original ratio, what is Ade's new share of profits?

Trade creditors are external users of accounting information who primarily examine financial statements to assess a company's short-term liquidity and ability to settle its short-term obligations.

An exporter in Lagos needs to send urgent title documents to an importer in London and requires formal, legal proof that the recipient personally signed for and received the parcel. Which postal/communication service is most appropriate for this transaction?

Public relations activities are primarily designed to achieve immediate, short-term increases in sales volume through direct customer incentives such as price discounts and free samples.

Match each manufacturing accounting item or formula on the left with its correct accounting classification or term on the right.

The financial records of Unity Social Club for the year ended 31st December 2025 reveal the following balances and transactions:

What is the total closing cash and bank balance to be shown in the Receipts and Payments Account as of 31st December 2025?