WAEC Accounting Past Questions & Answers - Page 47

231.

Account payable is classified as a

A.

Prepayment

B.

Provision

C.

Current liability

D.

Long term liability

Correct answer is C

No explanation has been provided for this answer.

232.

The accounts of Jute Enterprise in the books of a supplier will be a

A.

Nominal account in the general ledger

B.

Personal account in the sales ledger

C.

Personal account in the purchases ledger

D.

Real account in the general ledger

Correct answer is B

No explanation has been provided for this answer.

233.

Which of the following describes a trial balance? 

A.

It shows all the entries in the books

B.

It reveals the financial position of a business

C.

It is a list of accounting balances on the books

D.

it is a special account

Correct answer is C

No explanation has been provided for this answer.

234.

The effect on profit when the closing stock is understated is

A.

Increase in profit

B.

Decrease in profit

C.

No change in profit

D.

Appropriation of profit

Correct answer is B

No explanation has been provided for this answer.

235.

The balance sheet equation shows

A.

Current assets minus current liabilities

B.

The difference between fixed assets and current liabilities

C.

Assets and sources of financing them

D.

Sources of funding owner's equity

Correct answer is C

No explanation has been provided for this answer.