passwella.
Menu

WAEC Financial Accounting 2021 Question 28

Question 28

Final Accounts of a Sole Trader

Use the following information to answer questions 27 and 28.
Gross profit: GH¢50,400
Discounts received: GH¢3,300
Discounts allowed: GH¢2,500
Net profit: GH¢26,500
Cost of goods sold: GH¢184,000
Other operating expenses for the period is

  1. A.GH¢27,300.
  2. B.GH¢25,700.
  3. C.GH¢24,700
  4. D.GH¢23,900.
Show the answer and explanation

Answer: C (GH¢24,700)

Explanation

50,400 + 3,300 − 2,500 − other expenses = 26,500, so other expenses = GH¢24,700.