Waec Accounts - Principles of Accounts Past Questions and Answers

Question 551:

• WAEC 2001

Purchase of goods of N2,000 was treated as sales and entered in the sales day book and had been carried through the account as such. This error of

A. Principle
B. Omission
C. Reversal of entries
D. Original entries

Question 552:

• WAEC 2001

Which of the following is not correct?

A. Increases in asset accounts are entered on the debit side
B. Decreases in assets accounts are entered on the credit side
C. Increases in liability accounts are entered on the credit side
D. Decreases in liability accounts are entered on the credit side

Question 553:

• WAEC 2001

A business firm incurs labour cost in installing machinery. This should be treated as

A. Salaries account
B. Machinery account
C. Debtors account
D. Creditors account

Question 554:

• WAEC 2001

Use the following information to answer the given question
\(\begin{array}{c|c} & N\\ \hline \text{Motor Van} & 120,000\\ \text{Buildings} & 300,000 \\ \text{Stock of goods} & 40,000\end{array}\)
In addition, he had cash ofN60,000 out of which N20,000 was borrowed from a friend.
The capital of the business is

A. N520,000
B. N500,000
C. N480,000
D. N460,000

Question 555:

• WAEC 2001

Use the following information to answer the given question
\(\begin{array}{c|c} & N\\ \hline \text{Motor Van} & 120,000\\ \text{Buildings} & 300,000 \\ \text{Stock of goods} & 40,000\end{array}\)
In addition, he had cash ofN60,000 out of which N20,000 was borrowed from a friend.
The liabilities of the business amount to

A. N80,000
B. N60,000
C. N40,000
D. N20,000