Waec Model Questions Vol1 2022 Financial Accounting Question 24

Practice objective / multiple choice question 24 from the 2022 Waec Model Questions Vol1 Financial Accounting examination.

Waec Model Questions Vol1 2022 Financial Accounting Objective / Multiple Choice Easy Difficulty
Question 24 WAEC_MODEL_QUESTIONS_VOL1 • 2022 • FINANCIAL_ACCOUNTING • objective

A business sold goods for ₦120,000 cash, which includes a 5% value‑added tax (VAT). Record the journal entry, showing the amounts for Cash, Sales Revenue and VAT Payable (round to two decimal places).

Answer Options

A. Debit Cash ₦120,000; Credit Sales Revenue ₦110,000.00; Credit VAT Payable ₦10,000.00
Correct Answer B. Debit Cash ₦120,000; Credit Sales Revenue ₦114,285.71; Credit VAT Payable ₦5,714.29
C. Debit Cash ₦120,000; Credit Sales Revenue ₦120,000.00; Credit VAT Payable ₦0.00
D. Debit Cash ₦120,000; Credit Sales Revenue ₦115,000.00; Credit VAT Payable ₦5,000.00
Correct Answer
B
Correct Option:
Debit Cash ₦120,000; Credit Sales Revenue ₦114,285.71; Credit VAT Payable ₦5,714.29

About This Question

This is Waec Model Questions Vol1 2022 Financial Accounting Question 24. It is one of the objective questions from the 2022 Waec Model Questions Vol1 Financial Accounting examination.

Difficulty level: Easy .

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