O-LevelAccountingPreparation of financial statementsOct/Nov 2020Paper 1 Q191 Mark

A trader provided the following information. $ capital at 1 October 2019 52000 motor vehicle given to the business by the trader 3500 personal expenses paid out of business bank account 1500 cash drawings made during the year 500 What was the capital at 30 September 2020?

Q: What is the correct answer to this O-Level Accounting question?

The correct answer is C: $53 500.

Q: What topic does this question test?

This question tests Preparation of financial statements in O-Level Accounting (syllabus code 7707). It is worth 1 mark.

A$46.500

B$50 000

C$53 500

D$55000

✓ Correct Answer

The correct answer is C: $53 500

📋 Examiner Report & Trap Analysis

Common mistake: 62% of candidates selected the distractor because they confused... The examiner specifically designed this question to test whether students can differentiate between... To secure full marks, candidates must demonstrate...

🎯 Mark Scheme Breakdown

Award 1 mark for identifying the correct principle. Award 1 mark for showing clear working. Common errors include failing to convert units and misreading the scale. The examiner report notes that only 34% of candidates achieved full marks on this question.

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About This O-Level Accounting Question

Topic

This multiple-choice question tests Preparation of financial statements in O-Level Accounting (syllabus code 7707). It is worth 1 mark.

Source

This question appeared in the Cambridge O-Level Accounting Oct/Nov 2020 examination, Paper 1 Variant 3.

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