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WAEC Accounting 2016 Objective — Question 28

Question 28 of 50 from the West African Examinations Council (WAEC) Accounting 2016 Objective paper, with the correct answer and a full explanation.

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28. Purchases of fixtures and fittings by a club is recorded in the A. Receipts and Payments Account only B. Income and Expenditure only C. Receipts and Payments Account and Balance sheet D. Income and Expenditure Account and Balance sheet

  • A. Receipts and Payments Account only
  • B. Income and Expenditure only
  • C. Receipts and Payments Account and Balance sheetCorrect
  • D. Income and Expenditure Account and Balance sheet

Explanation

Fixtures and fittings are assets. Purchase is treated as Dr Furniture & Fittings A/c, Cr Cash/Bank A/c; the balance is transferred to the balance sheet.

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