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WAEC Financial Accounting 2013 Question 29

Question 29

Public Sector Accounting

Which of the following is a recurrent expenditure in public sector accounting?

  1. A.Purchase of vehicles
  2. B.Purchase of drugs
  3. C.Construction of boreholes
  4. D.Construction of buildings
Show the answer and explanation

Answer: B (Purchase of drugs)

Explanation

Drugs are used up in day-to-day running, so they are recurrent. Vehicles, boreholes and buildings are capital items.