A-LevelAccountingFinancial Statements and Error CorrectionMay/June 2022Paper 1 Q101 Mark
At 31 December 2021, the draft statement of financial position for a business showed total assets of $1000 000. The following was then discovered. 1 An increase in the provision for doubtful debts, $5000, had not been recorded. 2 Closing inventory had been overvalued by $20000. 3 Depreciation, $10000, had not been recorded. What was the corrected total assets value?
A$965000
B$985000
C$1005000
D$1015000
✓ Correct Answer
The correct answer is A. This question tests the candidate's understanding of financial statements and error correction within the Accountingsyllabus. The examiner's mark scheme requires...
📋 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...
🔒
Unlock the Examiner's Answer
Sign up for free to reveal the correct answer, the official mark scheme breakdown, and the examiner trap analysis for this question.
Sign Up Free to Unlock →Join thousands of Cambridge students already using Oracle Prep