Waec Accounts - Principles of Accounts 1996 Past Questions and Answers

Question 11:

• WAEC 1996

An equipment costing N60,000 was bought on 1st January 1991. Depreciation was provided at 20 percent annually on straight line method. It was straight line method. it was sold on 30th June 1994 for N15,750. In the year of sale, profit was

A. Reduced by N15,750
B. Increased by N15,750
C. Reduced by N12,000
D. Increased by N2,250
E. Reduced by N2,250

Question 12:

• WAEC 1996

Debentures issued at a price above the nominal value are said to be issued

A. At discount
B. At premium
C. At subsidy
D. On goodwill
E. At a loss

Question 13:

• WAEC 1996

A trial balance is

A. An attempt to balance the accounts
B. The credit balances of the accounts
C. List of all balances extracted from the ledger
D. The debit balances of the accounts
E. Balance sheet balances

Question 14:

• WAEC 1996

The balance sheet is a statement showing

A. All assets and liabilities
B. All balances
C. Credit entries of the business
D. Debit entries of the business
E. Caoital and liabilities

Question 15:

• WAEC 1996

Which of the following entries would be made for goods bought and paid for immediately? Debit

A. Cash account, credit sales account
B. Purchases account; credit cash account
C. Cash account; credit purchases account
D. Purchases account; credit sales account
E. Purchases account; credit goods account