FIRST TERM

Examination malpractices may lead to a repeat of the subject or suspensions don’t be involved.

SUBJECT: BOOK KEEPING TIME: 2HRS 30MINS CLASS: SS 2

OBJECTIVE
1. The preservation of records of all commercial transactions is referred to as book keeping
a. recording b. objective c. reporting d. posting
2. Credit transaction can create one of the following a. debtor b. purchase c. sales
d. depreciation
3. The recording of all financial transaction that place in an enterprise, commercial or
other wise is referred to as a. accounting b. book keeping c. classification d. posting
4. One of the following can be referred to has reduction in value of asset
a. building b. depreciation c. income d. asset
5. Any good or property owned which have a money value are called
a. liabilities b. debts c. repayment d. assets
6. Which of the following is not a method of depreciation?
a. diminishing balance b. residual value c. sinking fund d. straight
7. The sales day book will show goods sold for/on a. cash and credit b. cash c. credit
d. hire purchase
8. Which of these documents is sent by the buyer of goods or services to the seller stating
the quantity, quality, description and price of the goods a. an invoice b.debit note c. an order
d. a receipt
9. The concept that assumes that the business will continue to operate for an indefinitely
long period of time is termed a. going concern b. cost c. realization d. accrual
10. Current assets less current liabilities is a. assets b. capital owned c. capital d. working
capital
11. Provisions made in respect of the loss in the value of fixed asset such as equipment is
referred to as a. amortization b. depletion c. depreciation d. appreciation
12. Goods returned by the buyer is recorded in the seller’s books as
a. carriage inwards b. carriage outwards c. returns outward d. return inward
13. A subsidiary book is a book of a. final account b. final entry c. ledger entry d. original
entry
14. A book keeping debited motor vehicle account instead of motor expenses account this is
an error of a. commission b. original entry c. complete reversal of entry d. principle
15. Which of the following is an example of a subsidiary books?
a. cash book b. bank statement c. control account d. trial balance
16. Debts or obligations due to creditors are called a. assets b. debtor c. liabilities d. working
capital
17. A vehicle costs #20,000 with a life span of 5 years and the residual value for the period
was #500 using straight line method calculate the annual depreciation
a.#4900 b.# 3900 c.#3800 d.#5900
18. When a buyer returns damaged goods to the seller, he receives a
a. consignment note b. credit note c. debit note d. goods returns
19. Umaru enterprises ltd bought 40 pairs of shoes at #45 each from lebbi shoe factory on
credit
The transaction will first be recorded by umaru in the a. cash book b. ledger c. principal
journal d. purchases day book
Use the information below to answer question 20 -22
An asset that cost #40,000 is to be depreciated at the rate of 10% with the life span of 4yrs
20. Using diminishing balance method, what will be the depreciation charge for year 2?
a. #1,536 b. # 1920 c. # 2,400 d. #3600
21. Using reducing balance method, what is the net book value of the asset at the end of
year 2? a. #15,000 b. #20,000 c. #26,244 d. #32,000
22. At the end of the third years the accumulated depreciation using straight line method is
a. #10,000 b. #12,000 c. #15,000 d. #16,000
23. The generally accepted approaches to the application of accounting concept is
known as a. accounting concept b. accounting conventions c. accounting policies d.
accounting bases
24. Assets – liabilities defines a. capital b. debtor c. working d. working capital
25. The purchase of a typewriter for office use for #30,000 should be debited to
a. asset account b. bank account c. cash account d. purchases account
26. The document from which entries are transferred to the purchases day book is
the a. waybill b. credit note c. purchase invoice d. sales invoice
27. The book keeping term used when making entries in the ledger accounts termed
a. posting b. recording c. reporting d. classifying
28. When a debt cannot be recovered it is called
a. doubtful debt b. bad debt c. provision d. reserves
29. The accounting concept that says every transaction must be in money terms
is called a. going concern b. money measurement c. business entity d. cost
30. Which of the following assets would not depreciate due to passage of time?
a. machine b. building c. land d. furniture
31. The double entry system of book keeping was introduced by
a. Adam Smith b. A. R Jennings c. Frank wood d. Lucia pacioli
32. An item on the debit of a petty cash book is a. stationery b. transport c. float d.
rent
33. Items classified as an assets in the balance sheet include
a. overdraft b. drawings c. trade mark d. creditors
34. Purchases day book returns outwards book are records kept by the
a. seller b. buyer c. agent d. suppliers
35. Individual account of the suppliers are maintained in the
a. personal ledger b. sales ledger c. purchases ledger d. general ledger
36. The statement of account that performs the dual roles of a journal and a
ledger is a. cash book b. sales journal c. purchases journal d. trial balance
37. Exercise bought goods for #10,000 on credit and #4,500 for cash. He returned
goods worth #1500.the closing balance in his purchases account is
a. #16,000 b. #14,500 c. #13,000 d. #8,500
38. Records of a customer's financial transactions with the bank is contained in
the bank a. overdraft b. list c. statement d. account
39. An example of source document is
a. general journal b. sales journal c. credit note d. cash book
40. Items in the debtors control account include
a. credit purchase b. cash paid c. discount received d. discount allowed
SECTION B
ANSWER TWO QUESTION FROM THIS SECTION
1a. Differentiate between accounting concept and convention
b. Explain any three accounting concept and two convention
2a. Define depreciation
b. state six method of depreciation
c. define bad debts
3a. State the causes of depreciation
b. Explain any five types of errors that does not affect the agreement of trial
balance
4a. define ledger
b. state three errors that affect trial balance
c. state two types of ledger
SECTION C (Answer any three question fro these section)
5. An asset cost #80,000 and is to be depreciated at the rate of 20% with the life span of
5yrs. Using the reducing balance method. i. calculate the depreciation for 5 years
ii. Show the ledger entries a. asset account. b. depreciation account
c. profit and loss account d. balance sheet extract
6. A business started trading on 1st January 2002. During the two years ended 31 st
December 2002 and 2003. The following debt were written off to bad debts account on the
dates stated
 #
th
15 July 2002 blessing 500
th
30 September 2002 chinedu 600
th
15 November 2002 sesi. 650
rd
23 april 2003 salem 450
st
31 august 2003 blessing 700
th
30 October 2003 sophia 560
st
On 31 December 2002 the total debtors remaining were #65,000. It was decided to make
provision for doubtful debts of #4500
On 31st December 2001, the total debtors remaining were #55,000. It was decided to make
provision for doubtful debts of #5,550. Prepare the necessary account.
7. A machine cost #40,000 and has a life of 4 years after which it can be sold for #7800.
Calculate the depreciation using sum of the year digit
8. Write up a two column cash book from the book of Blessing enterprise
Jan 1 started business with #150,000 cash, #90,000 bank
Jan 3 cash sales #40,00
Jan 6. purchases by cheque #7,000
Jan 9 salaries by cash #9,000
Jan 10 sales #6,000
Jan 12 paid the following by cash: Lola #6,000,tola #4,000,remi #3,000
Jan 15 receive from the following by cheque : chichi #6,000 chioma #4,500
Jan 18 sales #13,000
Jan 23. drawings #7,000
Jan 26. paid bola by cheque #8,000
Jan 28. loan receive from ola #6,000
Jan 30. sales paid directly into the bank #8,500
9. Write up a single column cash book from the book of mama
Sept 1 capital #70,000
Sept 3 sales. #6,000
Sept 5. Purchases #8,000
Sept 7 salaries #5,500
Sept 10 sales #7,000
Sept 13 transport expenses #4,000
Sept 17 loan interest #3,000
Sept 20 sales #9,500
Sept 25 purchases #8,500
Sept 27 drawings #2,000
Sept 30 paid wages #6,500
 ELIAS INTERNATIONAL SCHOOL
ALPHA TERM EXAMINATION 2019/2020 SESSION
2-4 Old Otta Road Ile-Epo Bus Stop Oke-Odo, Lagos State
Examination malpractices may lead to a repeat of the subject or suspensions don’t be involved.

SUBJECT: BOOK KEEPING TIME: 1HR 30MINS CLASS: SS 3

OBJECTIVE
1. Which of the following is not prepared by a partnership? a. trading account b. profit and
loss account c. income and expenditure account d. profit and loss appropriation account
2. Which of the following is a component of prime cost? a. depreciation b. royalty c.
factory rent d. factory electricity
3. The concept which establishes the rule for the periodic recognition of revenue as soon
as it is capable of objective measurement is a. going concern b. entity c. consistency d.
realization
4. The term used to denote the capital of a not for profit making organization is
a. annuity fund b. nominal capital c. circulating capital d. accumulated fund
5. The portion of an authorized capital that has been allotted to subscribers
a. called up capital b. paid up capital c. issued d. nominal capital
6. A partner who only make capital contribution but does not take part in the management
of the partnership business is a/an a. ordinary partner b. limited partner c. dormat partner d.
nominal
7. Which of the following is not found in the personal ledger? a. debtors account b.
creditors account c. capital account d. nominal account
8. Purchases ledger control account can also be referred to as a. creditors control account
b. sales ledger control account c. debtors control account d. purchases ledger.
9. An increase in the provision for doubtful debts results in a/an a. increase in gross profit
b. decrease in the gross profit c. decrease in net profit d. increase in net profit
Use the following information to answer questions 10 -11
The health department of fune local government incurred the following expenditure in n2012
Construction of hospital wards 500,000
Purchase of hospital beds 60,000
Salaries and wages 90,000
Purchase of drugs 75,000
Purchase of x-ray machine 250,000
10. What is the capital expenditure for the year?
 a. #750,000 b. #810,000 c. #710,000 d. #500,000
11. The amount of recurrent expenditure is a. #165,000 b. #155,000 c. #200,000 d.
#155,500
12. Returns inwards can be corrected by issuing a. credit note b. debit note c. voucher d.
receipt
13. At the end of the trading period,cost of goods sold is debited to the trading account
while cost of services is debited to the a. balance sheet b. manufacturing account c. trading
account d. profit and loss account
Use the following information to answer question 14- 17
#
Opening stock 6000
Purchases 15000
Carriage inwards 500
Returns outwards 522
Returns inwards 300
Sales 30000
Closing stock 7000
14. The cost of goods available is a. #21,000 b. #15,000 c. #31,000 d. #20,978
15. What is the cost of goods sold? a. #14,978 b. #16,978 c. #13978 d. #15,978
16. The net sales is a. #27,000 b. #29,700 c.#29,000 d. #29,300
17. The gross profit is a. #15,722 b. #14,733 c. #14,722 d. #13,722
18. Which of the following has a credit balance? a. returns inwards account b. machinery
account c. sales account d. cash account
19. A book showing the financial statement of an organization is called
a. trading account b. balance sheet c. profit and loss account d. partnership account
20. Business organization can be classified into a. four b. six c. three d. five
21. The following except one is the source of fund of business organization
a. loan from bank b. loan from government c. retained earning d. debtors
22. One of the following can bring to an end a sole trading
a. bankruptcy b. legal entity c. profit d. sickness
23. an account referred to as a self balancing account is called
a. balance sheet b. cash book c. control account d. trading account
24. A business owned and managed by an individual is called
a. partnership b. sole trader c. limited company d. cooperative society
Use the following information to answer questions 25-29
SALES LEDGER CONTROL ACCOUNT
1999 1999
Jan 1 balance b/d 1300 jan 1 balance b/d 86
31 Sales 7630 bank 6555
 Dishonoured cheques 250 discount 345
Stopped cheques 100 returns 130
Balance c/d 92 purchases ledger 360
Balance c/d 1896
9372 9372
25. The amount of #7,630 represent a. total credit sales b. total of all the debtors of the
firms c. the total sales for the month d. cash sales only
26. The amount of #6,555 described as “bank” represents a. cash sales for the month,
including discounts b. cash sales for the month excluding discounts c. receipt from trade
debtors only d. receipts from all the debtors the business
27. The balance of #92 represents the i. amount necessary to balance the account ii. Sum
due to the customers iii. Amount due from the customers a. I and ii only b. I only c. ii only d. iii
only
28. The items purchases ledger #360 means i. cash purchases during the period ii. Credit
purchases during the period iii. Trade debtors set off against debts on purchases a. I only b. ii
only c. iii only d. I and ii only
29. The balance of #1896 represents i. the sum required to balance the account ii. Amount
due to the customers iii. Amount due from customers a. I only b. ii only c. iii only d. I and iii
only
30. Which of the following may cause depreciation? a. wear and tear b. consumption c.
profit d. assets
31. A non profit making organisation can raise funds from the following sources
except a. donations b. fines c. Levies d. shares
32. The following expenses are charged to profit and loss account except
a. carriage inwards b. carriage outwards c. insurance d. rates and rent
33. Which of the following is the correct number in constituting a partnership
business? a. 1-10 b. 2-20 c. 3-30 d. 4-40
34. Sales minus cost of goods sold is equal to
a. gross profit b. closing stock c. net profit d. opening stock
35. The schedule or list that shows the debit and credit balances extracted from
the ledger is called a. balance sheet b. cash book c. journal d. ledger
Use the following information to answer questions 36 to 39
Trading account for the year ended 31st December 2012
# # #
opening stock 15,000. sales. 16,000
Add X. 2,500. less Z. 500. 15,500
Add carriage inward 300
2,800
less. Y. 550. 2,250
 17,250
less closing stock. 3,000
Cost of goods sold. 14,250.
Gross profit. ?
15,500. 15,500

36. The letter X represent a. carriage inwards b. goods available for sale c. purchases
d. returns inwards
37. The letter Y represent a. returns outwards b. carriage inwards c. gross loss d. returns
inwards
38. The letter Z represent a. carriage outwards b. goods available for sale c. purchases
d. returns inwards
39. What was the amount of gross profit? a. #2,800 b. #2,500 c. #2,250 d. #1,250
Use the following information to answer questions 40 to 42
Mr Ben, a transporter,purchased a motor van for the sum of #800,000.it would be kept in use
for 5 years, with a scrap value of #70,000. using a straight line method of depreciation.
40. What is the value of the motor van at the end of the first year?
a. #730,000 b. #654,000 c. #645,000 d. #525,000
SECTION B:ANSWER TWO QUESTIONS FROM THIS SECTION
1a. What is partnership?
b. Who is a sole proprietorship?
c. State the types of business organization
2a. What are the uses of control account?
b. Explain the two types of control account
3a. State five items on the debit side of purchases ledger control account
b. State five items on the credit side of sales ledger control account
c. What is control account?
4a. What is contra entries?
b. State the features of sole trading
c. What is book keeping?
SECTION C
ANSWER ANY THREE QUESTIONS FROM THIS SECTION
5. the following was extracted from the book of Gold
#
Sales ledger balance 1/1/99 36,869
Purchases ledger balance 1/1/99 46,986
Sales day book 105,435
Purchases day book 89,665
 Return inwards day book 2,350
Credit notes received 4,475
Debit notes issued 875
Cheques paid to suppliers 75,250
Discounts allowed 2,345
Discounts received 3,330
Bad debts written off 4,200
Cheque received from customers 116,230
You are required to prepare :
a. Debtors control account
b. Creditors control account
6. A machine cost #600,000 it will be useful for 5years the scrap value is #30,000
calculate the depreciation using reducing balance method.
Note: show all workings
7. Write up a two column cash book from the following transaction
jan 1 started business with #60,000 cash #180,000 bank
Jan 2 purchases by cash #18,000
Jan 5 cash sales #9,000
Jan 7 paid wages by cheque #25,000
Jan 14 stationery bought #7000
Jan 16 cash paid directly into the bank #45,000
Jan 18 receive from Jose #6,000 by cash
Jan 22 receive from tom by cheque #4,000
Jan 24 paid beloved by cheque #25,000
Jan 27 paid salaries by cash #18,000
Jan 29 cash banked #7,000
Jan 31 drawings #6000
8. From the following information calculate the first in first out(fifo)
Receipt Jan 5. 6000 @ #4.5
Jan 7 4000 @ #3.8
Jan 25 5500 @ #7
Jan 30 1200 @ #5
Issued. Jan 9 7000
Jan 15. 7200
Jan 27. 2000

9. A machine cost #900,000,it as a life span of 4 years and the scrap value is #70,000
Calculate the depreciation using straight line method and open the necessary ledger
 ELIAS INTERNATIONAL SCHOOL
ALPHA TERM EXAMINATION 2019/2020 SESSION
2-4 Old Otta Road Ile-Epo Bus Stop Oke-Odo, Lagos State
Examination malpractices may lead to a repeat of the subject or suspensions don’t be involved.

SUBJECT: BOOK KEEPING TIME:2HRS 30MINS CLASS: SS 1

OBJECTIVE
1. The act of supplying goods or services to satisfy human wants is called
a. recording b. transaction c. marketing d. classifying
2. The property of a business are called. a. liabilities b. assets c. debt d. capital
3. The principle of double entry was postulated by
a. Richard grafton b. luca paciolo c. lord lugard d. akintola Williams
4. The application of the science of accounting in the keeping of books of account is known
as a. accountancy b. transactions c. book keeping d. financing
5. Every transaction has_____ parts a. two b. four c. five d. six
6. Transaction can be divided into a. credit and income b. cash and credit c. cash and
expenses d. receipt and payment
7. If a trader purchases goods for cash valued at #400, he will credit cash account and
debit his ____ a. sales account b. purchases account c. creditor account d. debtors account
8. If a trader sells goods for cash valued at #300 he will debit his cash and credit his____
a. purchase account b. sales account c. goods account d. cash account
9. One of the following is often referred to as the principal book of account
a. journal b. ledger c. cash book d. trial balance
10. One of the following is an example of an asset a. creditors b. owing c. loan d. cash
11. Assets that are acquired and retained in the business is termed
a. current asset b. fixed assets c. current liabilities d. longterm assets
12. All of these are parties to business transactions except a. suppliers and buyers b.
creditors and debtors c. sellers and buyers d. promoter and vendors
13. One of the following is an example of fixed asset
a. cash b. debtors c. equipment d. creditors
14. Expenses paid for in one period but not entirely consumed or used until later period is
called a. accrued expenses b. prepaid expenses c. prepaid income d. accrued income
15. What is the effect of assets withdrawal on the capital of a business?
a. decrease b. increase c. growth d. no effect
16. One of the following defines the equation of accounting
a. assets = capital – liabilities b. assets = capital x liabilities c. assets = capital/liabilities d.
assets = capital + liabilities
17. Which of the following is treated in the balance sheet as a liability?
 a. debtors b. creditors c. cash d. prepayment
18. Which of these terms used in booking means the same as making entries in various
ledger accounts? a. posting b. recording c. classification d. analyzing
19. Written evidences of business transactions that describe the essential facts of those
transactions are referred to as a. subsidiary books b. source document c. prime books d.
original books
20. The document which covers small payments for expenses credited to the petty cash
book is a. statement of account b. petty cash receipt c. petty cash voucher d. receipt
21. Assets which can be seen or touched are classified as
a. intangible assets b. liquid assets c. wasting assets d. tangible assets
22. Convertible assets are also referred to as a. wasting assets b liquid assets c. fixed assets
d. current asset
23. Goods bought on credit are first entered in the
a. cash book b. ledger c. journal proper d. purchases day book
24. The process of transferring entries from journal to ledger account is
a. journalization b. posting c. summarization d. single accounting
25. A document a supplier sends to customer to correct under cast on an invoice is
a. receipt b. credit note c. debit note d. waybill
26. journal can be classified into a. two b. three c. four d. five
27. Ledger can be classified into a. three b. six c. two d. seven
28. Who is responsible for the recording of financial transactions of a business?
a. auditor b. manager c. book keeper d. director
29. A sales journal is used to record a. sales expenses b. cash sales c. credit sales d. sales
returns
30. An evidence of payment for goods bought is a. invoice b. receipt c. voucher d.pay
slip
31. The following are source documents except
a. cheque stub b. invoice c. receipt d. purchase order
32. The principle of double entry in book keeping states that
a. every debtor must have a creditor b. every account debited must be credited
c. for every debit entry there must be a corresponding credit entry d. for every
double debit, there must be a double credit
33. Which of the following is not a real account
a. furniture and fittings b. land and building c. losses or gains d. machinery
34. Which of the following is not an external user of accounting information?
a. creditor b. customer c. government d. manager
35. In book keeping every transaction must have ------- entries
a. four b. six c. two d. one
36. The monetary value of a fixed asset is recorded in
a. nominal account b. real account c. personal account d. control account
37. Returns of goods sold on credit will be posted to
a. purchases day book b. returns inwards journal c. sales day book d. returns
outwards journal
38. The act of entering transactions in the books of account is
a. casting b. posting c. journalizing d. writing
39. Sales day book is used to record
a. cash sales of stock b. credit sales of stock c. cash sales of fixed assets
d. credit sales of fixed assets
40. Purchases day book is used in recording
a. purchases b. cash purchases c. credit purchases d. purchases returns
THEORY: ANSWER ANY FIVE QUESTION FROM THESE PART
1a. Define asset
b. differentiate between asset and liabilities
c. What is a journal?
2 list and explain the types source document
3a. differentiate between debtors and creditors
b. state the importance of book keeping
4a. what are the uses of journal?
b. Define ledger
c. Define transaction
5a. Separate the following into asset and liabilities
Land and building, debtors , cash , creditors , overdraft , owings , loan, bank, furniture ,
plant and machinery, capital , stock
b. explain the types of transaction
6a. state the uses of source document
b. what are the qualities of a book keeper?
7a. what is source document? b. What is a liability?

c. state the beneficiaries of book keeping

8a. state the uses of ledger b. explain the types of ledger

9a. Who is a debtor?

b. define creditor

c. state the types of subsidiary books

N