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WAEC Financial Accounting 2011 Question 50

Question 50

Final Accounts of a Sole Trader

Which of the following date lines is correct for a profit and loss account?

  1. A.For the year ended 31st December 2009
  2. B.As at 31st December 2009
  3. C.For the period 31st December 2009
  4. D.As at the year 2009
Show the answer and explanation

Answer: A (For the year ended 31st December 2009)

Explanation

A profit and loss account covers a period, so it is headed 'for the year ended…'; 'as at' is for a balance sheet.