WAEC Accounting 2014 Theory — Question 11

Model answer

Profit and Loss Appropriation Account for the year ended 31st December 2010: Retained profit b/d ₦89,400 + Net profit b/d ₦30,389 = ₦119,789 Less: Directors' salaries ₦28,000; Proposed dividends ₦10,000 Retained profit c/d = ₦79,789 (approx., per the figures extracted from the account) — Total = ₦117,789 balancing both sides of the account.