WAEC Accounting Past Questions & Answers - Page 321

1,601.

The process of entering transaction from one book to another is

A.

Reading

B.

Posting

C.

Numbering

D.

Listing

Correct answer is B

Posting in accounting is when the balances in sub-ledgers and the general journal are shifted into the general ledger. 

1,602.

A balance sheet shows only

A.

Fixed assets and current assets

B.

Assets and long term liabilities

C.

Assets and liabilities

D.

Assets and capital

Correct answer is C

A balance sheet is a financial statement that reports a company's assets, liabilities and shareholders' equity.

 

1,603.

Which of the following is a book of ordinary entry?

A.

Ledger

B.

Balance sheet

C.

Bank statement

D.

Sales journal

Correct answer is D

Books of original entry refers to the accounting journals in which business transactions are initially recorded. The information in these books is then summarized and posted into a general ledger, from which financial statements are produced.

The main books of prime entry are:

  • Sales day book.
  • Purchase day book.
  • Sales returns day book.
  • Purchases returns day book.
  • Bank Book.
  • Cash Receipts Book.
  • Cash Payments Book.
  • Petty Cash Receipts Book.

1,604.

A fixed assets fully written-down by a trader is now considered to be worth ₦5,000. The double entry required to reflect this is debit

A.

Asset account credit purchase account

B.

Asset account credit capital account

C.

Capital account credit asset account

D.

Capital account credit profit and loss account

Correct answer is B

Debit asset account with 5000 and credit  capital account with 5000. 

1,605.

Which of the following is not a source document?

A.

Journal paper

B.

Sales invoice

C.

Debit note

D.

Credit note

Correct answer is A

he types of sources documents are:

  • Purchase order.
  • Cash receipt.
  • Invoice.
  • Cash register.
  • Tapes.
  • Credit.
  • Debit note.
  • Deposit slips