2013 - WAEC Accounting Past Questions and Answers - page 4

31
Use the following information to answer the given question
\(\begin{array}{c|c} & Le \ \hline \ \text{Fines} & 20,000\ \text{Market rates} & 120,000\ \text{Salaries} & 60,000\ \text{Maintenance of vehicles} & 49,000 \ \text{Park collections} & 100,000\end{array}\)
The total expenditure for the period is
A
Le 319,000
B
Le 270,000
C
Le 139,000
D
Le 109,000
correct option: d
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32

Which of the following is not an item on the credit side of the purchases ledger control account?

A
cash received
B
cash payment
C
contra settlement
D
cheque payment
correct option: d

Creditor's ledger control account is also known as purchases ledger control account or total creditors account. Interest charged by suppliers and refunds received from suppliers for overpayments to them are recorded in the credit side of purchases ledger control account.

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33

When a business is purchased from a sole trader, the excess of the purchase price over the net assets is

A
reserve
B
goodwill
C
feehold
D
valuation price
correct option: b

 Goodwill is recorded when a company acquires (purchases) another company and the purchase price is greater than the fair value of the identifiable tangible and intangible assets therein.

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34

A set of instrument or programs which controls the operation of a computer is

A
software
B
hardware
C
monitor
D
keyboard
correct option: a

Software is a set of instructions, data or programs used to operate computers and execute specific tasks. Opposite of hardware, which describes the physical aspects of a computer, software is a generic term used to refer to applications, scripts and programs that run on a device.

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35
the process of detecting, tracing and eliminating errors in a computer program is
A
reproduction
B
debugging
C
sorting
D
retrieving
correct option: b
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36

the process of detecting, tracing and eliminating errors in a computer program is

A
reproduction
B
debugging
C
sorting
D
retrieving
correct option: b

Debugging is the process of identifying and removing errors from computer hardware or software.

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37

The process of detecting, tracing and eliminating errors in a computer program is

A
reproduction
B
debugging
C
sorting
D
retrieving
correct option: b

Debugging is the process of identifying and removing errors from computer hardware or software.

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38

When the going concern concept is no longer applicable, the fixed assets are recorded at their

A
net book value
B
realizable value
C
gross value
D
revalued amount
correct option: d

When an asset is sold that has previously been revalued, the revaluation within the carrying value is debited to the Revaluation Reserve. When assets are revalued, every Balance Sheet shall show for a specified period of years, the amount of increase/decrease made in respect of each class of assets.

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39

In a non-for-profit making organization, the cash book is referred to as

A
income and expenditure acount
B
receipts and payments account
C
two column cashbook
D
petty cash bok
correct option: b

"A receipt and payment account is a summarized cash book (cash and bank) for a given period" prepared by Non-profit organizations (also called non-trading concerns) at the end of year.

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40

Which of the following relates to the essence of partnership? To

A
run a charity organization
B
pursue a social objective
C
form a business for profit
D
run a religious objective
correct option: c

The purpose of partnership agreement (or partnership contract) is to establish a business enterprise through a legally binding contract between two or more individuals or other legal entities for profitability.

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