AS & A Level Accounting (9706) — May–June 2023, Paper 12
30 questions · every question answerable online with instant point-by-point AI marking against the official mark scheme.
Start with Question 1 →Which row correctly describes an advantage and a disadvantage of a partnership? advantage disadvantage --- --- --- A limited liability risk of disagreements B access to more…
Answer this question and get it marked →An asset is purchased on credit by a business. What is the effect of this transaction on the accounting equation? assets liabilities capital --- --- --- --- A increase decrease…
Answer this question and get it marked →Which items relating to new manufacturing equipment are capital expenditure? 1 cost of the equipment 2 delivery cost of the equipment 3 staff training cost to operate the…
Answer this question and get it marked →The financial year of a business ends on 31 December. At the beginning of the financial year, the following payments were made in respect of a new machine. $ --- --- purchase cost…
Answer this question and get it marked →The motor vehicles at cost account had a balance of $90 000 at the beginning of the year on 1 January. On 1 September in the same year, the following transactions took place. 1 A…
Answer this question and get it marked →Which error would not affect the agreement of the totals of a trial balance? Options: A A credit note for $56 received from a supplier was entered in the book of prime entry as…
Answer this question and get it marked →A trial balance did not agree and the book-keeper found the following errors. 1 A bank overdraft of $100 had been shown as a debit in the trial balance. 2 A cash purchase of $160…
Answer this question and get it marked →A bank statement shows a credit balance of $8360. Comparison with the cash book reveals: 1 bank charges of $124 have not been entered in the cash book 2 cheques received from…
Answer this question and get it marked →Which statements are benefits of control accounts? 1 They check the numerical accuracy of the ledgers. 2 They help to identify missing entries in books of prime entry. 3 They…
Answer this question and get it marked →A company has obtained the following information for the year ended 31 December. $ --- --- opening balance on sales ledger control account 31 000 closing balance on sales ledger…
Answer this question and get it marked →Which statement contains the correct accounting treatment for accrued income? Options: A added to income and shown as a current asset B added to income and shown as a current…
Answer this question and get it marked →A business receives rent from letting part of its premises. On 1 January 2022, there was a balance brought forward of $1000 in the rent receivable account in respect of one…
Answer this question and get it marked →A sole trader's personal expenses had been paid out of the business bank account and included in the statement of profit or loss. What was the effect of this on the profit for the…
Answer this question and get it marked →A business has a gross profit margin of 25%. The following information is available for the year. $ --- --- sales revenue 200 000 opening inventory 10 000 closing inventory 5 000…
Answer this question and get it marked →A partnership maintains separate capital accounts and current accounts. Which statements are correct? 1 The capital accounts represent the retained earnings of the business. 2 The…
Answer this question and get it marked →X, Y and Z are in partnership, sharing profits and losses in the ratio 2:2:1. X is allowed an annual salary of $10 000. Y has made a loan to the partnership on which the…
Answer this question and get it marked →A company had sufficient balances in each of the share premium, general reserve and retained earnings accounts to issue bonus shares. During the year, bonus shares were issued.…
Answer this question and get it marked →X Limited had the following equity on 1 January. $ --- --- ordinary share capital ($1 shares) 400 000 share premium 30 000 general reserve 10 000 retained earnings 70 000 During…
Answer this question and get it marked →Which three key users of financial statements will be most interested in the statement of profit or loss? Options: A employees, environmental bodies, government B public,…
Answer this question and get it marked →Raj, a supplier of goods, has calculated the following ratios from the financial statements of a possible new customer. 1 current ratio 2 non-current asset turnover 3 trade…
Answer this question and get it marked →The following information is available for a business for the year ended 31 December. $000 --- --- revenue 800 purchases 600 owing to credit suppliers 46 owed by credit customers…
Answer this question and get it marked →The table shows information from a company's financial statements. $000 --- --- revenue 135 gross profit 34 profit from operations 11 profit for the year 8 non-current assets 59…
Answer this question and get it marked →A company incurs a semi-variable cost per employee hour worked. If hours worked exceed 10 000, an extra fixed administrative cost of $600 is incurred. hours worked administrative…
Answer this question and get it marked →Which costs are charged to individual jobs in a job costing system? Options: A direct labour plus direct materials B direct labour plus direct materials plus production overhead C…
Answer this question and get it marked →A business absorbs its overheads on the basis of direct labour hours. The following information is provided for its last period. actual budgeted --- --- --- overheads $640 000…
Answer this question and get it marked →Why might a business use absorption costing? 1 to calculate inventory valuation for financial statements 2 to calculate selling price by adding profit to total cost 3 to include…
Answer this question and get it marked →Gareth makes and sells bread. He has calculated how many loaves he needs to sell each day in order to break even. Which factor helps him accurately analyse his break-even point?…
Answer this question and get it marked →A business has the following information about a type of product. --- --- current production and sales 8000 units unit selling price $20 unit variable cost $12 total fixed costs…
Answer this question and get it marked →A company manufactures three products: X, Y and Z. The table provides per unit information concerning the three products. per unit product X $ product Y $ product Z $ --- --- ---…
Answer this question and get it marked →Why would a business use cost-volume-profit analysis? Options: A to act as a basis for long-term planning B to assist in the valuation of inventory C to decide which costs are…
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