WAEC Financial Accounting 2018 Question 47

Question 47

Company Accounts

Use the following information to answer questions 47 and 48.
Ordinary share capital: Le 70,000
Retained earnings: Le 31,142
Motor vehicle at cost: Le 21,136
Accumulated depreciation-motor vehicle: Le 7,109
Furniture and fittings at cost: Le 1,334
Accumulated depreciation-Furniture of fittings: Le 1,007
Stock: Le 32,200
Debtors: Le 49,380
Bank: Le 15,953
Creditors: Le 11,329
Equity holders fund is

  1. A.Le 112,471.
  2. B.Le 111,834.
  3. C.Le 101,142.
  4. D.Le 70,000.
Show the answer and explanation

Answer: C (Le 101,142.)

Explanation

70,000 + 31,142 = Le 101,142.