WAEC Accounting Past Questions & Answers - Page 315

1,571.

Administrative, selling and distribution expenses in a manufacturing firm are recorded in

A.

Trading account

B.

Manufacturing account

C.

Profit and loss account

D.

Balance sheet

Correct answer is C

A profit and loss (P&L) statement summarizes the revenues, costs, and expenses incurred during a specific period of time. 

1,572.

An underwriter for a company's share is paid

A.

Interest

B.

Commission

C.

Dividend

D.

Salary

Correct answer is B

Underwriting commission is the compensation that an underwriter receives for offering underwriting services. a fee is paid as a return for the implicit risk involved in the underwriting contract.

 

1,573.

Which of the following is a form of memorandum of association?

A.

Names of directors

B.

Appointment of directors

C.

Object of the business

D.

Payment of dividend

Correct answer is C

memorandum of association contains a name clause, registered office clause, object (or objective clause), objects clause, liability clause, capital clause, and association clause. An MOA is a type of legal paper that is prepared when forming and registering a limited liability company (LLC).

 

1,574.

The double entry to record the proceeds on disposal of assets in debit

A.

Bank account; credit asset disposal account

B.

Asset disposal account; credit bank account

C.

Provision for depreciation account; credit asset disposal account

D.

Asset disposal account; credit provision for depreciation account

Correct answer is C

Debit provision for Depreciation account (to remove the equipment's up-to-date accumulated depreciation), Credit the account Equipment (asset disposal account) to remove the equipment's cost.

 

1,575.

Which of the following is not part of the central processing unit of a computer?

A.

Arithmetical and lgical unit

B.

Memory unit

C.

Input unit

D.

Control unit

Correct answer is C

Central processing unit (CPU), computer system, generally composed of the main memory, control unit, and arithmetic-logic unit.