The advantage of double entry is that

it is easy to prepare the final account

Where there is no agreement made by the partners, the following provisions takes place except

No salary for partners acting in the business

No interest to be charged on drawings

Profit and loss are to be shared equally

Bought motor vehicle ₦60 paying by cheque. The effect of the transaction will be

Increase in assets of motor vehicle account

Decrease in assets of motor vehicle account

Increase in assets of bank account

Increase in liabilities of bank account

Majority of commercial transactions are termed credit transactions, which means

Settlement is deferred to a future date

The buyers pay immediately for goods bought

Settlement is deferred to a future date

One of the limitations of accounting is that

transactions are recorded in monetary terms

it ascertain financial position

transactions are recorded in monetary terms

it monitor the progress of the enterprise

The importance of bank statement is all except

verifies the accuracy of balances of cash book and cheque book

helps to detect and rectify any error

JAMB UTME - Principles of Accounts - 2019

Question 1 Report

Accounting standards are issued at the International level by the

Standards Advisory Council

International Accounting Standards Board Correct answer

Nigerian Accounting Standards Board

Standing Interpretations Committee

Answer Details

Accounting standards are issued at the international level by the International Accounting Standards Board (IASB). The IASB is an independent organization that sets accounting standards, known as International Financial Reporting Standards (IFRS), for companies to follow when preparing their financial statements. These standards help ensure that financial information is transparent and comparable across different companies and countries. The IASB operates under the oversight of the IFRS Foundation, which provides funding and governance. The Standards Advisory Council and Standing Interpretations Committee are both bodies that provide advice and guidance to the IASB, but they do not have the authority to issue accounting standards. In summary, the IASB is the organization responsible for setting international accounting standards, which are designed to promote transparency and comparability in financial reporting by companies around the world.

Read lesson note on Nature And Significance Of Accounting (JAMB)

Opening Stock	7,000
Closing Stock	12,000
Purchases	60,000
Expenses	4,500

	₦		₦
Bal b/f	3650	Insurance	900
Subscription (99)	7500	Rate	11,700
(2000)	1000	Bal c/d	8,050
Fees	8500
	20,650		20,650

	1/199	31/12/99
Rates owing	3,600	2000
Insurance prepaid	50	1000
Subscription in arrears	700	600

	1/199	31/12/99
Rates owing	3,600	2000
Insurance prepaid	50	1000
Subscription in arrears	700	600






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