ICAN Financial Accounting 2023
Past Questions

Under the IASB Conceptual Framework (2018), which of the following statements best describes the concept of a 'reporting entity'?

Bello Enterprises extracted a trial balance and discovered a suspense account balance of ₦180,000 (Cr). Investigation revealed two errors: (i) a credit sale of ₦300,000 to Customer Z was entered in th…

Zubair Manufacturing Plc is being sued by a former employee for wrongful dismissal. The company's legal counsel estimates a 65% probability that the company will lose the case and be required to pay d…

Okonkwo & Partners prepares accounts to 31 March each year. The following information relates to its rates (local government levy) account: Rates paid on 1 October 2022 for the six months to 31 March …

A company purchased a motor vehicle on 1 April 2021 for ₦12,000,000. It is the company's policy to depreciate motor vehicles at 25% per annum using the reducing balance method, with a full year's char…

Which of the following costs should be EXCLUDED from the cost of inventories under IAS 2?

During the preparation of Adaeze Enterprises' trial balance, the bookkeeper discovered that the total of the debit column exceeded the credit column by ₦47,500. Which of the following is the CORRECT i…

Bamidele & Associates uses a suspense account to record trial balance differences. The following errors were found: (i) A credit sale of ₦95,000 to Alhaji Musa was recorded in the books as ₦59,000; (i…

Alhaji Musa, a sole trader in Lagos, recorded the following for the year ended 31 December 2023: Opening inventory ₦480,000; Purchases ₦3,240,000; Carriage inwards ₦60,000; Closing inventory ₦520,000;…

Mr Emeka Obi, a sole trader, extracted the following balances at 31 March 2024: Trade receivables ₦620,000; Allowance for doubtful debts (opening) ₦40,000; Bad debts written off during the year ₦25,00…

Pursuant to IAS 7, dividends paid by an entity may be classified in the statement of cash flows as:

Zenith Agro-Allied Limited (ZAL) is a Nigerian company listed on the Nigerian Exchange Group (NGX). The company prepares its financial statements in accordance with International Financial Reporting S…

QUESTION 1 Adekunle & Sons Trading Company, a wholesale distributor of building materials located in Abuja, commenced business on 1 January 2024. The following transactions occurred during January 20…

Mr Chukwuemeka Obi recently qualified as a Chartered Accountant and has just been appointed as the Finance Manager of Kano Textile Mills Limited (KTML), a manufacturing company. On reviewing the compa…

QUESTION 1 Oluwaseun Trading Company Limited, a Lagos-based wholesale distributor of fast-moving consumer goods, maintains a cash book and a current account with First Zenith Bank Plc. The company's …