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WAEC Financial Accounting 1998 Question 20

Question 20

Final Accounts of a Sole Trader

Furniture and Fittings: N15,000
Land and Buildings: N40,000
Motor Vehicles: N25,000
Stock: N10,000
Debtors: N27,500
Cash in hand: N2,000
Bank overdraft: N17,500
Profit and Loss b/d: N28,000
Rent owing: N800
Sundry creditors: N22,000
The value of total fixed assets is

  1. A.N119,500
  2. B.N90,000
  3. C.N80,000
  4. D.N79,200
  5. E.N68,300
Show the answer and explanation

Answer: C (N80,000)

Explanation

Fixed assets = 15,000 + 40,000 + 25,000 = N80,000.