2015 - WAEC Accounting Past Questions and Answers - page 5

Articles of association are a document that specifies the regulations for a company's operations and defines the company's purpose. The document lays out how tasks are to be accomplished within the organization, including the process for appointing directors and the handling of financial records. it outlines the internal regulations of the company.

companies issue their shares for subc=scription either publicly or by private placement. People who apply to subscribe (buy) the shares are subscribers.

Defalcation predominantly refers to the theft, misuse or misappropriation of money or funds held by an official trustee, or other senior-level fiduciary. In this regard a defalcation account will be opened to record the stolen goods.

 Local revenue comes from property, sales, and other taxes; dues, fines, charges and fees; and transfers from federal and state governments. 

 Supplementary general warrant: This is the authority authorizing the account General and the officer controlling expenditure to release fund as contained in the approved supplementary budget.

The cash basis is a method of recording accounting transactions for revenue and expenses only when the corresponding cash is received or payments are made. Thus, you record revenue only when a customer pays for a billed product or service, and you record a payable only when it is paid by the company.

Interest on drawings is an expense to the partner, and hence it is credited to the profit and loss appropriation account. 

A spreadsheet is a sheet of paper that shows accounting or other data in rows and columns; a spreadsheet is also a computer application program that simulates a physical spreadsheet by capturing, displaying, and manipulating data arranged in rows and columns. Excel is an example of a spread sheet application

The output is an instant reaction to the input. The value derived from output depends on the quality of input and your process for converting raw ideas and feedback into effective solutions.