WAEC Accounting Past Questions & Answers - Page 184

916.

Subscription in advance is treated in the Balance sheet of non-profit making organizations as

A.

Current asset

B.

Fixed asset

C.

Current liability

D.

Accumulated fund

E.

Goodwill

Correct answer is C

No explanation has been provided for this answer.

917.

To correct an error, the purchases account was debited while Suspense account was credited. Which of the following was the cause of the error?

A.

Undercasting of purchase

B.

Overcasting of purchases

C.

Original entry

D.

Transportation of returns outwards

E.

Omission of creditor's balance

Correct answer is A

No explanation has been provided for this answer.

918.

A suspense account is used to

A.

Agree the trial balance

B.

Record sales

C.

Record purchases

D.

Correct errors

E.

Prepare the balance sheet

Correct answer is A

No explanation has been provided for this answer.

919.

Which of the following is true in Public sector accounting? Cost of assets is

A.

Depreciated on straight line method

B.

Depreciated on reducing balance method

C.

Expensed in the year of purchase

D.

Charged to federation account

E.

Not recognized in any form

Correct answer is C

No explanation has been provided for this answer.

920.

The loss made by a non-trading organization is called

A.

Surplus

B.

Drawing

C.

Deficit

D.

Shortage

E.

Discount

Correct answer is C

No explanation has been provided for this answer.