O-LevelAccountingAccounting principles and policies7707/11 · Oct/Nov 2017 · Q291 Mark

Stephan's major competitor has invested in a new machine for making goods more cheaply. Stephan knows this will affect his sales but did not record this in his accounting records. Which accounting principle is Stephan applying?

Agoing concern

Bmateriality

Cmoney measurement

Dprudence

✓ Correct answer

C: money measurement

Practise more questions on this topic

Oracle Prep sorts past-paper questions by topic, so you can drill Accounting principles and policies and see which topics are most likely to come up next.

About this question

Topic: Accounting principles and policies, O-Level Accounting (syllabus 7707). Multiple choice, 1 mark.
Source: O-Level Accounting, Oct/Nov 2017 Paper 1 Variant 1, question 29.

Questions and mark schemes are from past examination papers and remain the copyright of the exam board. How Oracle Prep builds its content

Related Accounting questions

Accounting principles and policiesMay/June 20131m

The financial statements of a trader include wages paid to employees. The skill and expertise of the employees is not…

Accounting principles and policiesMay/June 20131m

A business depreciated machinery using the straight line method in year 1 and the diminishing (reducing) balance meth…

Accounting principles and policiesMay/June 20141m

Jai intends to continue trading for many years. He provided the following information about his assets. cash at bank …

Sources and recording of dataMay/June 20111m

Jane, a trader, withdrew $50 from the business bank account for office use. How is this recorded in Jane's books?

Accounting proceduresMay/June 20111m

Ann is a trader. On 1 April 2011 Cindy's account in Ann's ledger showed a credit balance of $520. The following trans…

Verification of accounting recordsMay/June 20111m

A trial balance fails to agree. The credit column totals $10 000. Two errors are then found. The sales journal has b…

← Browse all past-paper questions