WAEC Accounting Past Questions & Answers - Page 56

In a situation of incomplete records, profit is determined as 

An office equipment bought for use was found to be defective and returned to the supplier. The subsidiary book to record this transaction is 

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

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 net figure for debtors in the balance sheet is 

 

A credit purchase of N200 from Osae was posted to the account of Osei. This is an error of