Waec Accounts - Principles of Accounts 2020 Past Questions and Answers

Question 36:

• WAEC 2020

Recognition of profit when goods are sold and the buyer takes ownership of them is in line with


A. Realization concept
B. Matching concept
C. Business entity concept
D. Going concern concept

Question 37:

• WAEC 2020

Use the following information to answer the question below
Provision for doubtful debts------1,000Cr
Bad debts--------500Dr
Debtors-------50,000Dr
Additional bad debts to be written off-----500
New provision for doubtful debts to stand at 5% of debtors

The provision for doubtful debts to be charged to the Profit and Loss Account is

A. Le 2,500
B. Le 2,475
C. Le 2,450
D. Le 1,000

Question 38:

• WAEC 2020

An office equipment bought for use was found to be defective and returned to the supplier.

The subsidiary book to record this transaction is

A. Returns outwards journal
B. Returns inwards Journal
C. Purchase journal
D. General journal

Question 39:

• WAEC 2020

In a situation of incomplete records, profit is determined as

A. Closing capital drawings opening capital
B. Closing capital- drawings-opening capital
C. Closing capital drawings - opening capital
D. Closing capital drawings + opening capital

Question 40:

• WAEC 2020

The document which serves as the authority to incur expenditure in the public sector is

A. Warrant
B. Vote
C. Budget
D. Voucher