A-LevelAccountingAccounting Concepts and PrinciplesMay/June 2015Paper 1 Q221 Mark

An investor is looking at the financial statements of a company in which he may decide to invest. Which item helps him to rely on the financial statements?

Q: What topic does this question test?

This question tests Accounting Concepts and Principles in A-Level Accounting (syllabus code 9706). It is worth 1 mark.

Aconsistency of accounting policies from one period to the next

Bestimation of accounting provisions relying on the opinion of managers

Cinflation in the currency in which the financial statements are prepared

Dlapse of time since the date of the statement of financial position

✓ Correct Answer

The correct answer is A: consistency of accounting policies from one period to the next

📋 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 A-Level Accounting Question

Topic

This multiple-choice question tests Accounting Concepts and Principles in A-Level Accounting (syllabus code 9706). It is worth 1 mark.

Source

This question appeared in the Cambridge A-Level Accounting May/June 2015 examination, Paper 1 Variant 2.

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