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Accounts - Principles of Accounts 2017 WAEC Past Questions

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56

The accounting entries when goods are sold on credit at the branch are debit 

  • A. Branch Debtors Account; credit Sales Accounts
  • B. Branch Current Account; credit Head Office Current Account
  • C. Branch Debtors Account; credit Head Office Current Account
  • D. Head Office Current Account; credit Sales Accounts
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57

Which of the following is not a method of charging goods to the branch by its head office? 

  • A. Net realizable value
  • B. Cost price
  • C. Cost-plus profit
  • D. Selling price
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58

Use the following information to answer the question below

Nzemaman Local Government incurred the following expenditure in the year 2015. 

Construction of market stalls 120,000
Staff salaries-------------------    40,000
Purchase of stationery--------- - 9,000
Sinking of boreholes------------
Building of classrooms
Maintenance of vehicles 
Purchase of equipment 

Recurrent expenditure for the year is 

  • A. D 112,000
  • B. D 84,000
  • C. D 77, 000
  • D. D 49,000
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59

Use the following information to answer the question below

Nzemaman Local Government incurred the following expenditure in the year 2015. 

Construction of market stalls 120,000
Staff salaries-------------------    40,000
Purchase of stationery--------- - 9,000
Sinking of boreholes------------
Building of classrooms
Maintenance of vehicles 
Purchase of equipment

Capital expenditure for the local government is 

  • A. D 473,000
  • B. D438,000
  • C. D 422,000
  • D. D 410,000
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60

A reserve is an amount 

  • A. set aside from profit for an unknown liability
  • B. of loss from trading activities
  • C. of profit from trading activities
  • D. set aside from profit for a specific purposeĀ 
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