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WAEC Financial Accounting 2024 Question 22

Question 22

Manufacturing Accounts

Which of the following items will not be charged to the manufacturing account?

  1. A.Warehouse rent.
  2. B.Opening work-in-progress.
  3. C.Direct expenses.
  4. D.Carriage on raw materials.
Show the answer and explanation

Answer: A (Warehouse rent.)

Explanation

A warehouse holds finished goods for sale, so its rent goes to profit and loss, not manufacturing.