WAEC Accounting Past Questions & Answers - Page 123

611.

Outstanding rent of N300 is paid by the proprietor. The effect on the balance sheet is that

A.

Both the liability and asset are increased

B.

Both the liability and asset are decreased

C.

Liability is increased while the asset is decreased

D.

Liability is decreased while the asset is increased

E.

Both liability and asset remain unchanged

Correct answer is B

No explanation has been provided for this answer.

612.

The concept of Double Entry Book-Keeping states that

A.

If you receive goods on credit the seller becomes your creditor

B.

For every debit entry there must be a corresponding credit entry

C.

One party receives and another party gives value

D.

Purchases and sales are stated separately

E.

For every seller there is a buyer

Correct answer is B

No explanation has been provided for this answer.

613.

The balance the provision for depreciation account is shown in the

A.

Trial balance as a debit

B.

Trial balance as a credit

C.

Balance sheet as a fixed asset

D.

Balance sheet as a long term liability

E.

Balance sheet as a current liability

Correct answer is B

No explanation has been provided for this answer.

614.

Discount allowed would appear on the

A.

Debit side of sales control account and the credit side of purchases control account

B.

Debit side of sales ledger control account only

C.

Debit side of purchases ledger control account

D.

Credit side of the sales ledger control account

E.

Credit-side of the purchases ledger control account

Correct answer is D

No explanation has been provided for this answer.

615.

The balance in the purchases ledger control account is

A.

Total purchases

B.

Total sales

C.

The total of the debtors

D.

The total of the creditors

E.

The total credit purchases

Correct answer is D

No explanation has been provided for this answer.