SCHOOL:- CABAX INTERNATIONAL SCHOOLS
NAME:-
CLASS: SENIOR TWO (2) S.S. 2
SUBJECT: FINANCIAL – ACCOUNTING
FIRST TERM EXAMINATION 2023 18. ……………. Control account is referred to as total
OBJECTIVE PARTS: SECTION A: debtors control account (a). purchase ledger (b).
1. …………. Account are accounts prepared to ascertain trading (c). profit and loss (d). sales ledger
the cost of goods manufactured during the financial 19. Experience has shown that the best possible way to
year (a). protection (b). trading (c). correct mistakes is to ignore the mistakes True or
manufacturing (d). profit and loss false
2. Cost of production is the total expenditure incurred in 20. ……………. Is where a wrong amount is entered on
the production of output (a) True (b) False the debit and credit sides (a). errors of omission
3. The following are errors the trial balance cannot (b) errors of original entry (c). errors of
disclose except (a). errors of principle (b). errors commission (d). transposition errors
of omission (c). errors of control (d). 21. …………….. is the expenditure incurred on raw
compensating errors materials which can be traced to a particular
4. Control account is divided into ……………. (a). 4 (b). production unit (a). factory overhead (b). direct
2 (c). 3 (d). 10 materials (c) prime cost (d). direct labour
5. …………….. are cost that can be traced to a particular 22. The following must be followed closely when there are
production unit (a). direct labour (b). factory errors in the account except (a). identify the type of
overheads (c). prime cost (d). cost of error (b). interprets the errors in the ledger (c).
production identify sales of goods (d). identify the two account
6. Sales account must have credit balance (a) True (b) 23. The following accounts must be prepared in
False partnership accounting except (a). current and
7. Trial balance must be balanced (a) True (b) False capital (b). balance sheet (c). appropriation
8. ____type of partner does not take any active part in the account (d). accounting entries
management of the partnership business. (a) active (b) 24. ………….. is an extension of the trading account (a).
work in progress (b). non-manufacturing cost (c).
sleeping or dormant (c) nominal
manufacturing account (d). accounting entries
9. ……………… is an account used to record the
25. The following are errors the trial balance can disclose
difference on a trial balance temporarily until the errors
except (a) the trial balance is incorrectly totaled
are deleted and corrected (a). accounting errors
(b). errors of principle (c). items can be mis
(b). control account (c). suspense account (d).
posted to the account (d). an item can be omitted
manufacturing account
from the trial balance
10. One of these is not a type of partner (a). active (b).
26. Partnership can be formed by two to twenty persons
sleeping (c). nominal (d). working
(a) True (b) False
11. The following are reasons for central account except
27. One of these is not a reason for control account (a).
(a). they save time (b). they are used to detect
they save time (b). used to detect messing figures
missing figures (c). to ascertain the cost of
(c). It helps in locating errors (d). none of the
production (d). fraud becomes difficult
above
12. One of these is NOTaccounting requirement under
28. _______is a document drawn up by the partners which
partnership agreement (a). rate of interest on capital
(b). no interest on capital (c). division of profits and will clarify the respective positions and duties of the
losses (d). the rate of interest on drawings partners in a business. (a) partnership (b) deed of
13. …………. Is simply a mistake made in the preparation partnership (c) proprietorship
of accounts (a). trial balance (b). wrong entry 29. ……….. is referred to as the total creditors controlling
(c). errors (d). all of the above account (a). self balancing ledger (b). sales ledger
14. ………….. must be signed by the partners in the (c). purchase ledger (d). all of the above
presence of a lawyer unit partnership (a). papers 30. …………. Is the relationship which subsists between
(b). will (c). agreement (d). document persons carrying on a business in common with a view
15. When errors affect the trial balance, it must not pass of profit (a). organization (b). co-operation (c).
through the suspense account (a) True (b) False partnership (d). relationship
16. ………… partner only contributes his name to the 31. ………….. is the partly finished goods or incomplete
formation of the business and nothing more (a). work (a). cost of raw materials (b). work in
sleeping ((b). limited (c). active (d). normal progress (c). direct labour (d). factory overhead
17. …………. Errors is when the Dr and Cr sides may be 32. The guiding rules under partnership agreement will be
overcast or under cast by the same amount (a). contained in a written agreement known as (a).
commission (b). original entry (c). omission partnership will (b). partnership deeds (c).
(d). compensating partnership document (d). partnership agreement
33. Persons cannot enter into partnership without any 52. Manufacturing is the process of making goods by hand
written form of agreement (a) True (b) False or by____ (a) machine (b) car (c) food
34. ………….. errors is when an item is posted to the 53. The costs involved in manufacturing process are
wrong side of the account (a). complete reversal of principally in ___ main divisions (a) two (b) three (c)
entity (b). omission (c). transposition (d). four
compensating 54. ____ materials are basic substances or raw materials
35. Section 24 of the partnership act lays down the form which a product is made (a) direct (b) indirect (c)
following except (a). no remuneration or safety (b). labour
equal share of profit and losses (c). No interest on 55. ___ are expenses other than direct materials cost and
capital (d). sharing of capital direct labour cost that are incurred solely in producing
36. Trial balance is a test of arithmetical accuracy of the the goods.(a) direct (b) indirect (c) labour
ledger (a) True (b) False 56. ____ are costs which cannot be traced directly to the
37. ………… partner are not allowed to take part in the product but which all the same are part of the cost of
management of the partnership business (a). the product.(a) direct (b) indirect (c) labour
limited (b). dormant (c). active (d). nominal 57. _____ are administrative and marketing costs and are
38. For a partnership to be effective and efficient, there not included in the cost of manufacturing the product
must be some guiding rules and regulations (a) True (a) manufacturing cost (b) Non-manufacturing cost (c)
(b) False cost
39. ……. agreement must be signed by the partners in the 58. ____ is the total cost of direct materials direct wages
presence of a lawyer (a). manufacturing (b). and direct expenses. (a) prime (b) total (c) inventory
Trading (c). partnership (d). business 59. ____ type of partner participates actively in
40. There are ………….. reasons for manufacturing management of the partnership’s business (a)
account (a). 2 (b). 4 (c). 6 (d). 3 dominant (b) active (c) nominal
41. ____ account is an account which records in total what 60. ___ This is a partner that has not capital contribution
has been entered in detail in the ledger account to into the business but partners in the share of the profit.
which it relates. (a) fixed (b) control (c) saving (a) dominant (b) active (c) nominal
42. _____ error when there is a complete omission of a
transaction from the ledger. (a) commission (b)
omission (c) original entry THEORYAnswer four questionsNo One Is Compulsory
43. ______ error occurs when a transaction is entered in 1. Purchase of goods from Ayo N76 was entered in
the wrong account within the correct class of accounts. the account as N 67. Correct this account
(a) commission (b) omission (c) original entry 2. Differentiate between accounting errors and
44. _____ error occurs whenever the double entry of a suspense account
transaction is correctly made, but the original account ii. State five errors the trial balance cannot disclose
amount of the transaction is wrongly recorded(a) 3. What is manufacturing account
commission (b) omission (c) original entry ii. State and explain five terminologies in
45. ____ error occurs when entry for a transaction manufacturing account
resulting in situation where an account that should 4. Define partnership agreement
have been debited is credited and another account that ii. State five of its accounting requirements
should have been credited is debited(a) commission 5. What is control account
(b) reversal entry (c) original entry State and explain types of partner
46. _____ error occurs when an error of error occurs when
an error in one account is cancelled out by another
error in another account(a) commission (b)
compensating (c) original entry
47. There are ____ approaches available to correct errors
in the accounts. (a) two (b) three (c) four
48. Errors not affecting the agreement of the trial balance
are usually detected through complaints from affected
_____ parties such as customers (a) fourth (b) third (c)
first
49. The sales ledger control account is sometimes called
total ___ control account (a) creditor (b) debtors (c)
fixed
50. Which of the following is NOT uses of control account?
(a) location of errors (b) prevention of fraud (c) delay
time
51. ___ account is an account that is prepared so as to
identity all the manufacturing costs incurred in bringing
the product to a marketable state (a) manufacturing (b)
profit and loss (c) marketing
