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WAEC Book Keeping 2024 Objective — Question 25

Question 25 of 40 from the West African Examinations Council (WAEC) Book Keeping 2024 Objective paper, with the correct answer and a full explanation.

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25. Which of the following features describe a receipts and payments account? I. It is a nominal account II. It contains only items of revenue in nature III. It is a real account IV. It records capital expenditure items

  • A. I, II, III and IV.
  • B. I, II and III only.
  • C. II and III only.
  • D. III and IV only.Correct

Explanation

The receipt and payment account, just like the cash account, is a real account and can record both capital and revenue expenditures and receipts.

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