WAEC Accounting Past Questions & Answers - Page 202

\(\begin{array}{c|c} Capital & Le\\ \hline Aye & 20,000\\ Bee & 30,000\\ Drawings & \\ Aye & 8,000 \\ Bee & 2,000 \\ \text{Profit for the year} & 2,000\\ \text{Interest on capital-6%} & \\ \text{Interest on drawings - 10%} & \end{array}\).
Profit sharing is in the ratio of capital. Aye's share of profit is

\(\begin{array}{c|c} Capital & Le \\ \hline Aye & 20,000\\ Bee & 30,000\\ Drawings & \\ Aye & 8,000 \\ Bee & 2,000 \\ \text{Profit for the year} & 2,000\\ \text{Interest on capital-6%} & \\ \text{Interest on drawings - 10%} & \end{array}\)

Profit sharing is in the ratio of capital. The divisible profit is

\(\begin{array}{c|c} \text{Branch stock account (at selling price)} & D346,000 - debit \\ \text{Branch mark-up account} & D62,000 - credit \end{array}\)

The concept applied in calculating the stock figure to be included in the balance sheet at the year end is

\(\begin{array}{c|c} \text{Branch stock account (at selling price)} & D346,000 - debit \\ \text{Branch mark-up account} & D62,000 - credit \end{array}\)

Calculate the stock figure to be included in the balance sheet at the year end.

\(\begin{array}{c|c} \text{Net profit} & 60,000 \\ \hline \text{Total assets} & 520,000 \\ \hline \text{Current liabilities} & 150,000 \\ \hline \text{Currents assets} & 280,000 \\ \end{array}\)

The returns on capital employed is