Question 10
Final Accounts of a Sole TraderUse the information below to answer questions 9 and 10.
The Assets and Liabilities of Udo Co. Ltd. as at 31st December, 2000. (₦)
Creditors 50000
Debtors 46000
Loan 100000
Stock 20000
Motor vehicle 120000
Building 70000
Accrued wages 30000
Bank 25000
The liabilities of Udo Co. Ltd is
- A.₦180,000
- B.₦181,000
- C.₦177,000
- D.₦110,000
Show the answer and explanation
Answer: A (₦180,000)
Explanation
Liabilities = creditors 50 000 + loan 100 000 + accrued wages 30 000 = ₦180 000.