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WAEC Accounting 2018 Objective — Question 28

Question 28 of 50 from the West African Examinations Council (WAEC) Accounting 2018 Objective paper, with the correct answer and a full explanation.

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In a manufacturing account, royalties paid is debited to the

  • A. trading account
  • B. profit and loss account
  • C. manufacturing accountCorrect
  • D. -

Explanation

Royalties paid (related to production) form part of the direct/prime cost, debited to the Manufacturing Account.

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