WAEC Accounting Past Questions & Answers - Page 63

311.

Companies issue shares to the public in order to

A.

Reduce the number of directors

B.

Reduce the number of shareholders

C.

Raise capital

D.

Generate profit

Correct answer is C

No explanation has been provided for this answer.

312.

When bank charges are deducted from a customer's account, the balance on the bank statement would be

A.

More than the cash book balance

B.

Less than the cash book balance

C.

Equal to the cash book balance

D.

Added to the cash book balance

Correct answer is B

No explanation has been provided for this answer.

313.

Where fixed capital account is maintained, partners Share of profit is transferred to the

A.

Debit side of the capital account

B.

Credit side of the capital account

C.

Credit side of partner's current account

D.

Debit side of partners current account

Correct answer is C

No explanation has been provided for this answer.

314.

When closing stock is undervalued, the cost of goods sold would be

A.

Overstated and the gross profit understated

B.

Understated and the gross profit overstated

C.

Understated and the gross profit overstated

D.

Understated and the gross profit understated

Correct answer is A

No explanation has been provided for this answer.

315.

Goods bought from Sanmah for Le1,600 was entered into Shamail's Account. This is an error of

A.

Compensation

B.

Commission

C.

Original entry

D.

Principle

Correct answer is B

No explanation has been provided for this answer.