passwella.
Menu

WAEC Financial Accounting 2023 Question 9

Question 9

Final Accounts of a Sole Trader

Use the following information to answer questions 7 to 9.
The following transactions relate to Osei Enterprises for the year ended 31st December, 2020:
Purchases: D 160,000
Returns outwards: D 880
Carriage inwards: D 740
Returns inwards: D 620
Sales: D 195,000
Salaries: D 27,600
Closing stock: D 14,100
The net profit is

  1. A.D 21,760.
  2. B.D 21,620.
  3. C.D 21,020.
  4. D.D 18,260.
Show the answer and explanation

Answer: C (D 21,020.)

Explanation

48,620 − salaries 27,600 = D 21,020.