A-LevelAccountingCompany AccountsMay/June 2024Paper 1 Q181 Mark

On 1 January a company makes a bonus issue of 10 000 ordinary shares of $0.50 each. During the year it makes a rights issue of 15000 ordinary shares for $0.60 each. What is the effect of these in the statement of financial position? share capital and reserves increase $ current assets increase $

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

The correct answer is A: 9.000 9.000.

Q: What topic does this question test?

This question tests Company Accounts in A-Level Accounting (syllabus code 9706). It is worth 1 mark.

A9.000 9.000

B9000 12 500

C14 000 9000

D14 000 14 000

✓ Correct Answer

The correct answer is A: 9.000 9.000

📋 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 Company Accounts in A-Level Accounting (syllabus code 9706). It is worth 1 mark.

Source

This question appeared in the Cambridge A-Level Accounting May/June 2024 examination, Paper 1 Variant 2.

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