Waec Accounts - Principles of Accounts 2019 Past Questions and Answers

Question 51:

• WAEC 2019

(a) What are closing entries?
(b) Distinguish between a branch and a department.
(c) State four reasons for the preparation of branch accounts.

Question 52:

• WAEC 2019

(a) State three effects of drawings on the business of a sole proprietor.
(b) Explain how the following items are treated in the balance sheet:
i. accrued expenses
ii. prepaid expenses
iii. accrued income.

Question 53:

• WAEC 2019

(a) Outline three reasons for which a cheque would be dishonored.
(b) Explain the following terms:
i. petty cash float.
ii. contra entries.
iii. imprest system
(c) State three advantages of keeping petty cash book using imprest system.

Question 54:

• WAEC 2019

The following transactions were extracted from the books of Adamu, a sole trader for the month of March 2016.
March 4: Sold 80 bags of maize on credit to Papuk at N255 per bag subject to a trade discount of 5%.
March 10: Sold goods on credit to Abass for N1,170.
March 15: Received a cheque from Papuk for the amount due, less a discount of 10%.
March 20: Received cash of N900 from Abass.
You are required to prepare:
(a) Sales Journal;
(b) Customers' Accounts in the Sales Ledger;
(c) Sales Ledger Control Account

Question 55:

• WAEC 2019

Ubochi and Hassanah started a partnership business on 1st January 2015. They contributed D 300,000 and D 250,000 respectively as capital. Their partnership deed stated that:
i. interest of 8% should be paid on capital per annum
ii. Hassanah would be paid D 10,000 monthly as a salary
iii. interest on drawings is 5%
iv. the profits are to be shared in the ratio 3:2 respectively. At the end of the year, the profit made was D300,000. During the period, Ubochi and Hassanah made drawings of D20,000 and D15,000 respectively.
You are required to prepare:
(a) Profit and Loss Appropriation Account for the year ended 31st December 2015;
(b) Partners' Current Accounts.