WAEC Past Questions and Answers - Page 1122

5,606.

When goods are purchased on account, the accounting entries are

A.

Debit purchases account, credit supplier's account

B.

Credit purchases account, debit supplier's account

C.

Credit bank account, debit purchases account

D.

Debit bank account, debit purchases account

Correct answer is A

No explanation has been provided for this answer.

5,607.

The ratio which measures the solvency of a firm is the

A.

Quick ratio

B.

Gross profit over sales ratio

C.

Stock turnover ratio

D.

Debtors turnover ratio

Correct answer is A

No explanation has been provided for this answer.

5,608.

A partner who has full power of participating in the conduct of a partnership business is a

A.

General partner

B.

Limited partner

C.

Sleeping partner

D.

Nominal partner

Correct answer is A

No explanation has been provided for this answer.

5,609.

In a bonus issue of one new share for every four held, a holder of 100,000 shares will get additional shares of

A.

50,000

B.

25,000

C.

20,000

D.

10,000

Correct answer is B

No explanation has been provided for this answer.