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2004 - WAEC Accounting Past Questions and Answers - page 3

21

Which of the following is not a debit item in the partnership profit and loss appropriation account?

A
interest on partners drawings
B
parners salaries
C
interest on partners capital
D
share of profit
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22

Which of the following is not correct?

A
credit sales are entered on debit side of the customers personal account
B
credit purchases are entered on the debit side of the supplier's personal account
C
return inward are entered on the credit side of the customer's personal account
D
returns outwards are entered in on the debit side of the supplier's account
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23

When discount is allowed, the accounting entry is debit Discount allowed and credit

A
suspense account
B
expense account
C
debtors account
D
creditors account
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24

When partners maintain fixed capital accounts, the correct entries for a partner's share of profit is

A
debit profit and loss appropristion account, credit current Account
B
Debit profit and loss appropriation account, credit capital account
C
debit current account, credit caapital account
D
debit profit and loss account, credit current account
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25

Goodwill is taken into account in partnership when

A
the business has good customer relations
B
the business is making huge profit
C
a new partner is admitted
D
a parner becomes dormant
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26

The excess of current assets over current liabilities is

A
working capital
B
preference capital
C
loan capital
D
founder's capital
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27

A class of preference shares in which dividend rights are carried forward is

A
cumulative
B
participating
C
redeemable
D
floating-rate
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28

The class of shareholders who are paid last in the event of wedding-up are

A
ordinary
B
preference
C
founder
D
treasury
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29

When both debit and credit entries in respect of a transaction are made in the same ledger account, this is

A
a ledger entry
B
an accounting entry
C
a folio entry
D
a contra entry
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30

Use the following information to answer the given question
(\begin{array}{c|c} & N\ \text{Stock of raw materials - 1st January, 2002} & 460,000\ \text{Purchases of raw materials} & 1,000,000\ \text{Carriage inwards} & 100,000 \ \text{Stock of raw materials - 31st December, 2002} & 500,000\ \text{Royal paid} & 35,000 \ \text{Manufacturing wages} & 80,000\ \text{Supervisor's salary} & 15,000\end{array})
Total overhead cost is

A
N105,000
B
N95,000
C
N50,000
D
N15,000
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