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Use the following information to amswer the question that follows Ordinary share----------------------------------70,000 Retained earnings-----------------------------31,142 Motor...

Accounts - Principles of Accounts
WAEC 2018

Use the following information to amswer the question that follows

Ordinary share----------------------------------70,000
Retained earnings-----------------------------31,142
Motor vehicle at cost--------------------------21,136
Accumulated dep. - motor vehicle---------7,109
Furniture and fittings at cost----------------1,334
Accumulated dep. fur & fitts at cost-------1,007
Stock----------------------------------------------32,200
Debtors-------------------------------------------49,380
Bank-----------------------------------------------15,953
Creditors------------------------------------------11,329

Net book value of fixed assets is----

  • A. 22,480
  • B. 21,136
  • C. 14,354
  • D. 14,027
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Correct Answer: Option C
Explanation

Motor vehicle at cost + furniture and fittings at cost - depreciation

21,136 + 1334 - (7,109 + 1,007)

22,470 - 8,116 = 14,354


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Post-UTME Past Questions - Original materials are available here - Download PDF for your school of choice + 1 year SMS alerts