JAMB Principles of Accounts 2023 past questions

Checked by the Skolra question team · Last updated 23 October 2026

Ten questions from the 2023 JAMB Principles of Accounts paper, with answers and explanations. We hold 80 questions from this paper, and the Skolra app has all of them.

JAMB Principles of Accounts 2023 questions and answers

1.
The main purpose of transaction file is?
1. A
  To update the records held in the master file
  Correct
2. B
  To keep a duplicate copy of data for recovery purposes
3. C
  To store permanent standing data of an organisation
4. D
  To hold fixed reference data used for validating inputs
Show answerHide answer
Answer: A
In a computerised accounting system, data is kept in different types of files, and each one has its own job. A transaction file is the file where the day-to-day dealings of the business (invoices issued, cash received, payments made, goods returned) are collected for a period. At the end of the run, this file is processed against the master file so that balances, quantities and totals are brought up to date. That is why updating the records held in the master file is its main purpose — it is a temporary, working file whose contents are used and then discarded or archived.
2.
Given:
I. Cash refunds
II. Debit note issued
III. Dishnoured cheque
IV. Purchases
The item on the credit side of purchase ledger control account includes
1. A
  I, II and IV
2. B
  I, II and III
3. C
  II, III and IV
4. D
  I, III and IV
  Correct
Show answerHide answer
Answer: D
The purchases ledger control account is a summary of all your suppliers' (creditors') personal accounts. A creditor is a liability, so anything that increases what you owe goes on the credit side, and anything that reduces it goes on the debit side.
3.
Which of the following concepts recognizes the principle of double entry?
1. A
  Money measurement concept
2. B
  Business entity concept
3. C
  Going concern concept
4. D
  Dual aspect concept
  Correct
Show answerHide answer
Answer: D
The correct answer is the dual aspect concept.
So remember: when a question asks for the foundation or principle behind double entry, the answer is the dual aspect concept.
4.
Which of these is not a subsidiary books?
1. A
  Sales day book
2. B
  Returns inwards book
3. C
  Petty cash book
4. D
  General ledger
  Correct
Show answerHide answer
Answer: D
Answer: General ledger
Subsidiary books are also called books of original entry or books of prime entry. They are the books where a transaction is recorded first, straight from the source document — invoice, credit note, receipt, voucher. They include the sales day book, purchases day book, returns inwards book, returns outwards book, cash book, petty cash book, bills receivable and bills payable books, and the journal proper.
5.
In manufacturing, depreciation of office machine is charged to
1. A
  manufacturing account
2. B
  trading account
3. C
  appropriation account
4. D
  profit and loss account
  Correct
Show answerHide answer
Answer: D
In the final accounts of a manufacturer, expenses are grouped according to where they are incurred, and each group goes to its own account.
Manufacturing account takes only factory costs: direct materials, direct labour and direct expenses (which together give prime cost), plus factory overheads such as factory rent, factory power, the works manager's salary and depreciation of plant and factory machinery.
Trading account takes sales, opening and closing stock of finished goods and the cost of goods produced, to arrive at gross profit.
Profit and loss account takes the non-factory expenses: administrative, office, selling and distribution and financial charges.
6.
Given:
I. It records subscription in arrears
II. Payments of liabilities is effected
III. The account does not show if cash payment is revenue or capital expenditure
IV. It performs the same function as cash book
The features of receipts and payment account includes:
1. A
  I, II and IV
2. B
  II, III and IV
  Correct
3. C
  I, II and III
4. D
  I, III and IV
Show answerHide answer
Answer: B
The receipts and payments account is simply a summarised cash book prepared by a not-for-profit organisation such as a club or society. Because of that, it is kept strictly on a cash basis. Take the statements one by one.
7.
Changes in the profit sharing ratio may occur as a result of
I. skill contributed by partners
II. health status
III. old age
IV. Intangible asset increase
1. A
  I, II and III only
  Correct
2. B
  II, III and IV only
3. C
  I, II and IV only
4. D
  I, III and IV only
Show answerHide answer
Answer: A
The profit sharing ratio in a partnership is changed whenever the relative contribution of the partners to the running of the business changes.
Why I, II and III only is correct:
I — skill contributed by partners: where a partner brings in extra expertise, technical skill or more working time, the others agree to give him a bigger share; a partner who reduces his input takes a smaller share.
II — health status: a partner whose health has failed cannot devote the same time and energy to the firm, so the ratio is revised to reflect his reduced service.
III — old age: an ageing partner usually withdraws from active management and settles for a smaller share of profit.
8.
The assumption that a business will continue to exist into the foreseeable future is recognized by a concept called
1. A
  going concern concept
  Correct
2. B
  accounting period concept
3. C
  business entity concept
4. D
  consistency concept
Show answerHide answer
Answer: A
The going concern concept is the assumption that a business will keep operating into the foreseeable future — that there is no intention or need to close down, sell off the assets or seriously cut back operations.
This assumption is why we record fixed assets at cost less depreciation and spread that cost over their useful life, instead of showing what they would fetch if sold off today. It is also why prepayments, accruals and stock are carried forward to the next period. If the going concern assumption fails, the books must be prepared on a break-up (net realisable value) basis instead.
9.
One of the options below have the same features as the profit and loss account in non-profit organization
1. A
  Statement of affairs
2. B
  Income and expenditure account
  Correct
3. C
  Accumulated fund account
4. D
  Receipts and payments account
Show answerHide answer
Answer: B
A non-profit organisation such as a club, church or old students' association does not trade for profit, so it does not prepare a trading and profit and loss account. In its place it prepares an income and expenditure account, and that account carries exactly the same features as the profit and loss account.
10.
Which of the following has the ultimate control of a company?
1. A
  The board of directors
2. B
  The shareholders in general meeting
  Correct
3. C
  The company secretary
4. D
  The managing director
Show answerHide answer
Answer: B
A company belongs to the people who put in the capital, and those people are the members (shareholders). Acting together in general meeting, they hold the supreme or ultimate control of the company.

The questions come from past JAMB, WAEC and NECO papers. We use software to help write the answer options and explanations, and every answer is checked twice before it goes on the site. How we check

Spotted a wrong answer? Tell us from the app or on the contact page and we check it.

Practise all 80 questions we hold from the 2023 paper, on a timed CBT screen

Every question has the answer and an explanation, in the Skolra app.

Download for Windows Download for Mac

About the app · Skolra for Windows · Skolra for Mac

JAMB Principles of Accounts 2023 past questions

JAMB Principles of Accounts 2023 questions and answers

Practise all 80 questions we hold from the 2023 paper, on a timed CBT screen

More Principles of Accounts past questions

Other Principles of Accounts years

Other 2023 JAMB papers