WAEC Financial Accounting Questions and answers 2020

There will be two papers – Paper 1 and Paper 2, both of which will constitute a composite paper to be taken at one sitting.

PAPER 1: Will comprise fifty multiple choice questions to be taken in 1 hour for 50 marks.
PAPER 2: Will be made up of two sections: Sections A and B and will last 2½ hours.

Section A: Will contain five essay questions on theory of financial accounting. Candidates will be required to answer two out of the four questions for 15 marks each.
Section B: Will contain five essay questions on financial accounting practice. Candidates will be required to answer three out of the questions for 15 marks each.

Note that we will update this list as regular as possible with correct questions and answers for 2020

WAEC Financial Accounting Objective Questions

1. The double entry for a cheque returned by a bank to a customer marked “refer to drawer” is debit
A. bank, credit debtor.
B. bank, credit bad debt expenses.
C. bad debt expenses, credit bank.
D. debtor, credit bank.

2. Which of the following is a characteristic of joint venture?
A. The activities are of short term duration.
B. Individual maintains separate account.
C. There is perpetual succession.
D. There is limitation to membership

3. The person who retains ownership of goods on consignment is
A. commission agent.
B. del-credere agent.
C. consignor.
D. consignee.

4. The computer program instructions are read into the
A. output unit.
B. input unit
C. storage unit.
D. central processing unit.

5. In Contract Accounts, retention money refers to the
A. amount due to the contractor but held back by the customer.
B. progressive payments made by the customer to the contractor.
C. contractor’s profit on the contract.
D. amount overpaid by the customer to the contractors.

WAEC Financial Accounting Theory Questions
1. (a) Distinguish between reserves and provisions
(b) Explain the following giving one example in each case:
(i) Depreciation;
(ii) Depletion;
(iii) Amortization.

2. (a) What is value added tax?
(b) Distinguish between input vat and output vat.
(c) State four features of Value Added Tax.

3. Explain the following terms as they are used in contract accounts:
(a) Notional profit;
(b) Retention money;
(c) Progress payments;
(d) Work certified;
(e) Work-in-progress.