WAEC Accounting Past Questions & Answers - Page 65

321.

The directors of Olu Ltd. recommended a dividend of 10% on 1,000,000 ordinary share capital of N2.00 each. The amount of dividend declared is 

A.

N200,000

B.

N100,000

C.

N20,000

D.

N10,000

Correct answer is A

No explanation has been provided for this answer.

322.

Goodwill is recognized in partnership when 

A.

The business makes a huge profit

B.

The business has adequate bank balance

C.

A partner is dormant

D.

A new partner is admitted

Correct answer is B

No explanation has been provided for this answer.

325.

The concept which seeks to prevent profits from being overstated is 

A.

Materiality

B.

Consistency

C.

Prudence

D.

Periodicity

Correct answer is C

No explanation has been provided for this answer.