ACC203 Email: bbcnoun@gmail.com Whatsapp: 08131667008 The accrual basis of accounting records revenues when they are Answer: earned is money spent to acquire or purchase property of permanent nature for individuals and organisations. Answer: capital expenditure One of the following is not a user of accounting information. Answer: law enforcement officer What is the main purpose of financial accounting? Answer: provide useful and financial information to outsiders The documents that are exchanged between buyers and sellers which are binding on both parties are called Answer: journal Which statement is not true about reasons for using international accounting standards? Answer: narrows the areas of difference between companies One of the following is not a benefit of trial balance. Answer: it serves the state of companyVs liquidity Which is an intangible asset? Answer: goodwill The external auditing service provided by accountants is to ensure complete and reliable Answer: financial statement A is used to record a business event as they occur throughout the year Answer: journal entry one of the following is not a liability account. Answer: cash account The account format that displays debits, credits, balances, and headings is called Answer: t- account Ufedo is a customer of Jason. The balance on Ufedo’s account in Ejura’s books is N200 debit. Ufedo sends Ejura a cheque for N50. What is the balance on Ufedo’s account after this transaction? Answer: sell to other buyers Computerised accounting system has the following demerits except Answer: the risk or loss of data is reduced to the barest minimum The financial statement that displays the revenues and expenses of a company for a period of timeis called Answer: income statement The two government recognized accounting professional bodies in Nigeria are: Answer: association of national accountants of nigeria and institute of chartered accountants of nigeria A contra asset account has what type of balance? Answer: credit There are professional accounting bodies in Nigeria Answer: 2 Which accounting concept satisfy the valuation criteria? Answer: going concern, realisation, cost The state that profit should not be anticipated when recognising profit to be recorded in financial statement, but the profit should be based on actual profit earned or realised for the particular period Answer: convention of prudence Email: bbcnoun@gmail.com Whatsapp: 08131667008