WAEC Accounting Past Questions & Answers - Page 24

116.

The excess of assets over liabilities in a not for profit organization is..........

A.

Surplus

B.

Deficit

C.

Working capital

D.

Accumulated fund

Correct answer is D

Accumulated fund is the excess money received by a non-profit organization. It is gotten by deducting liabilities from assets in a non-profit making organization account. 

 

119.

The balance on the sales ledger control account at the end of the accounting year represents a total.........

A.

Trade debtors at the end of the year

B.

Cash sales for the year

C.

Credit sales for the year

D.

Amount transferred from the sales journal

Correct answer is A

A sales ledger control account, also called trade debtors control, is the part of your balance sheet that displays how much your customers owe the company.

120.

Use the following information to answer the question that follows

             

                   N
Direct material used-----------------64,000
Direct labour--------------------------30,000
Production overheads--------------22,000
Work-in-progress at beginning-----9,000
Work-in-progress at close---------14,000

The total cost of production is

A.

94,000

B.

106,000

C.

111,000

D.

116,000

Correct answer is D

Total cost of production = Cost of labor + Cost of raw materials + Overhead costs on manufacturing.

64,000 + 30,000 + 22,000 = 116,000