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A-LevelAccountingPreparation of financial statements9706/12 · May/June 2022 · Q91 Mark

Which items are treated as expenses in the income statement?

Aaccrued wages at the end of the year: X, prepaid telephone charges at the end of the year: X, increase in provision for doubtful debts: X
Baccrued wages at the end of the year: X, prepaid telephone charges at the end of the year: ✓, increase in provision for doubtful debts: ✓
Caccrued wages at the end of the year: ✓, prepaid telephone charges at the end of the year: X, increase in provision for doubtful debts: ✓
Daccrued wages at the end of the year: X, prepaid telephone charges at the end of the year: X, increase in provision for doubtful debts: X

✓ Correct answer

C: accrued wages at the end of the year: ✓, prepaid telephone charges at the end of the year: X, increase in provision for doubtful debts: ✓

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About this question

Topic
Preparation of financial statements, A-Level Accounting (syllabus 9706). Multiple choice, 1 mark.
Source
A-Level Accounting, May/June 2022 Paper 1 Variant 2, question 9.

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