23/04/2020Senior Class WAEC/NECO/UTME Mock Exams(Accounting) 0Comments by Gate Academy Please, fill out the information below to continue. NAME EMAIL PHONE NUMBER 1. Which of the following documents authorizes the purchase transaction? Purchase requisition Purchase order Invoice or bill from supplier Credit memo from supplier2. Cost of capital is helpful in corporative analysis of various Source of Material Source of Services Source of Finance Product3. The cost of debt capital is calculated on the basis of Annual Interest Capital Net proceeds Arumal Depreciation4. Which of the following is an item of working capital? Long-term investments Accounts receivable Fixed assets Bonds payable5. The concept of present value is based on the None of the above Both (a) and (b) Principle of compound Principle of discounting6. Cost of capital from all the sources of funds is called Implicit Cost Composite cost Specific cost Simple Average Cost7. Risk in capital budgeting implies that the decision maker knows __________ of the cash flows. Variability Certainity Probability None of these8. Which of the following term is used to represent the proportionate relationship between debt and equity? Capital structure Cost of capital Assets Structure Capital Budgeting9. The overall capitalisation rate and the cost of debt remain constant for all degrees of financial leverage is advocated by Net Income Approach Traditional Approach Net operating Income Approach M-M Approach10. What is meant by accounts receivable? Money owed to a company by its employees Money owed to a company by its debtors Money owed by a company to its creditors Money owed by a company to its vendors11. The assets of a business can be classified as Only current assets None of the above Only fixed assets Fixed and current assets12. Which method does not consider the time value of money Internal Rate of Return Net present value Average rate of return Profitability Index13. Brown Glory Corp. has sales revenue of $150,000, sales discounts of $12,000, sales returns and allowances of $24,000, and cost of goods sold of $60,000. What would be the net sales revenue of Brown Glory Corp.? $102,000 $54,000 $90,000 $114,00014. To which account in the Balance Sheet is the net income or net loss transferred to at the end of the accounting period? Cash Retained Earnings Accounts Receivable Inventory15. Two mutually exclusive projects with different economic lives can be compared on the basis of Profitability Index Net Present Value Equivalent Annuity value Internal Rate of Return16. Which one of the following is not used to estimate cost of equity capital? Equity capitalisation approach Capital asset pricing model External yield criterion Dividend plus growth rate17. What is customer value? Ratio between the customer's perceived benefits and the resources used to obtained these benefits None of the above Post purchase dissonance Excess of satisfaction over expectation18. Which of the following has the highest cost of capital? Preference shares Equity shares Bonds Loans19. Accounts Payable is classified as a/an ___________ in the _____________. Current asset; Balance Sheet Current liability; Balance Sheet Revenue; Income Statement Expense; Income Statement20. The cost of capital method includes earning yield method all of the above growth in dividend method dividend yield method21 out of 20Time is Up!