WAEC Financial Accounting 2022 Answers, WAEC Financial Accounting 2022 Answers, question on Accounting waec 2022, WAEC Financial Accounting Answers 2022. WAEC 2022.
WAEC Financial Accounting Questions and Answers 2022. , for the National examination council (May/June 2021.Financial Accounting Answers. This post will provide you with repeated questions as well as the answers to your WAEC Financial Accounting exam 2022.This post will help you understand the WAEC Financial Accounting answers 2022.
Financial Accounting 2 (Essay)
09:30am – 11:30pm
Financial Accounting 1 (Objective)
11:30am – 12:30pm
PROOF OF WAEC Financial Accounting 2021 Answers
BELOW IS A PROOFS OF WAEC Financial Accounting 2021 Answers
(1a) Accounting concepts are a set of general conventions that can be used as guidelines when dealing with accounting situations.
(I) Business Entity: The business entity concept states that the transactions associated with a business must be separately recorded from those of its owners or other businesses.
(II) Accrual: The accrual principle is an accounting concept that requires transactions to be recorded in the time period in which they occur, regardless of when the actual cash flows for the transaction are received.
(III) Going concern: is an accounting term for a company that is financially stable enough to meet its obligations and continue its business for the foreseeable future.
(IV) Consistency: The concept of consistency means that accounting methods once adopted must be applied consistently in future
(V) Periodicity: The periodicity concept is a period during which business enterprises are required to prepare financial statement at specified intervals.
(VI) Historical cost: A historical cost is a measure of value used in accounting in which the value of an asset on the balance sheet is recorded at its original cost when acquired by the company.
Entrance Fees or Admission Fees is the amount that a person pays at the time of becoming a member of a Not-for-Profit Organization. It is a revenue receipt. Therefore, we account it as an income and credit it to Income and Expenditure Account.
A subscription is a signed agreement between a supplier and customer that the customer will receive and provide payment for regular products or services, usually for a one-year period.
(Pick Any five)
(i) No Opening Balance:- Opening balance is not require to prepare income and expenditure account.
(ii) Accrual Basis:- Income and expenditure account is maintained on accrual basis.
(iii) Based On Receipt And Payment Account:- Income and expenditure account is prepared on the basis of receipt and payment account at the end of the accounting year.
(iv) Non-cash Items:- This account records non-cash items also
(v) Debit And Credit Rule:- Expenses and losses are debited and incomes are credited as it is a nominal account.
(vi) No Capital Transactions:- Only revenue items are included in income and expenditure account. So, capital items are excluded while preparing this account.
(vii) Only Current Year’s Transactions:- Income and expenditure account includes only current periods transactions.