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Cambridge Past Paper Questions

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O-LevelAccountingPreparation of financial statementsOct/Nov 2023

Toby's purchases for the year were $13000. His closing inventory was $1000 more than his opening inventory. Toby's gross margin is 20%. What was To...

O-LevelAccountingAnalysis and interpretationOct/Nov 2023

CD Limited took out a long-term bank loan and used part of the funds to pay some of its credit suppliers early. How did this affect the trade payab...

O-LevelAccountingAnalysis and interpretationOct/Nov 2023

Jimmy made credit sales of $98 550 in each of the years 2021 and 2022. In 2022, his trade receivables turnover was exactly two days shorter than it...

O-LevelAccountingAccounting principles and policiesOct/Nov 2023

Which characteristic of financial information requires that financial statements be clearly presented and assumes that the users of the financial s...

O-LevelAccountingSources and recording of dataOct/Nov 2023

Seok buys and sells goods on credit. He has three credit customers and allows one of them, Naomi, trade discount of 10%. All customers pay Seok by ...

O-LevelAccountingAccounting proceduresOct/Nov 2023

Sara owns a clothing factory. She sells the clothing to a small number of local shops. She allows 30 days credit. At 30 September 2023, Sara's ledg...

O-LevelAccountingAccounting proceduresOct/Nov 2023

Lionel started trading on 1 July 2022. He paid $15 000 of his own personal money into the business bank account. He did not keep full accounting re...

O-LevelAccountingVerification of accounting recordsOct/Nov 2023

Rachel is a trader. The totals of Rachel's trial balance prepared on 30 September 2023 did not agree and the difference was placed in a suspense ac...

O-LevelAccountingAnalysis and interpretationOct/Nov 2023

Nala is a retailer who sells toys and games. All sales are on a cash basis and all purchases are on credit. She has provided the following informat...

O-LevelAccountingSources and recording of dataOct/Nov 2023

Shakir started trading in the year ended 31 August 2023 but did not keep proper books of account. His assets and liabilities at 1 September 2023 ar...

O-LevelAccountingPreparation of financial statementsOct/Nov 2023

Hilary owns a manufacturing business. She has provided the following information. Inventory at 1 August 2022 Raw materials $910...

O-LevelAccountingAccounting proceduresOct/Nov 2023

Logan is a trader who sells goods on credit. His year end is 30 September. Logan has provided the following information. At 1 October 2022 Invento...

O-LevelAccountingVerification of accounting recordsOct/Nov 2023

Asia is a trader. She prepared her trial balance at 31 August 2023. The credit side totalled $273 more than the debit side. Asia placed the differe...

O-LevelAccountingPreparation of financial statementsOct/Nov 2023

B Limited provides cleaning services to client offices and factories. The clients provide their own cleaning materials. The trial balance of B Limi...

O-LevelAccountingAnalysis and interpretationOct/Nov 2024

A trader prepares financial statements each year. What do these help the trader to do?

O-LevelAccountingThe fundamentals of accountingOct/Nov 2024

A trader bought new fixtures. He paid half the purchase price in cash and agreed to pay the balance at a later date. How does this purchase affect ...

O-LevelAccountingSources and recording of dataOct/Nov 2024

Which account is not kept in the nominal ledger?

O-LevelAccountingSources and recording of dataOct/Nov 2024

On 15 February Kalou made the following entries in his accounts. debit $ bank 228 discount allowed 12 credit $ Droghba 240 Which transaction was be...

O-LevelAccountingSources and recording of dataOct/Nov 2024

Ranjit is a credit customer of Balbir. In April the following activities took place. Balbir sold goods on credit to Ranjit. Ranjit advised Balbir t...

O-LevelAccountingSources and recording of dataOct/Nov 2024

What is an advantage to a business of maintaining books of prime entry?

O-LevelAccountingThe fundamentals of accountingOct/Nov 2024

Which items appear on the debit side of a trial balance? 1 amounts owed from credit customers 2 discount received from credit suppliers 3 drawings ...

O-LevelAccountingPreparation of financial statementsOct/Nov 2024

A trader had prepared her year-end financial statements. She later discovered that an adjustment to reduce the provision for doubtful debts by $100...

O-LevelAccountingPreparation of financial statementsOct/Nov 2024

A trader's draft income statement showed a profit for the year of $24500. The following errors were later discovered. 1 No adjustment had been made...

O-LevelAccountingVerification of accounting recordsOct/Nov 2024

The bank statement of a business had a credit balance of $2690 on 31 October. At that date cheques issued which had not been presented totalled $85...

O-LevelAccountingVerification of accounting recordsOct/Nov 2024

The bank column of a trader's cash book showed an overdrawn balance of $1200. When the trader compared the cash book with the bank statement he fou...

O-LevelAccountingVerification of accounting recordsOct/Nov 2024

What is an advantage of preparing a monthly sales ledger control account?

O-LevelAccountingAccounting proceduresOct/Nov 2024

A summary of Jim's cash book for the year included the following: total cheques paid to suppliers $3750 total discount received $65 Which entries a...

O-LevelAccountingPreparation of financial statementsOct/Nov 2024

Hamid owns a grocery store. He bought a motor vehicle, $2000, and fuel, $50. Both of these amounts were incorrectly debited to the purchases accoun...

O-LevelAccountingThe fundamentals of accountingOct/Nov 2024

Which statements are correct about depreciation? 1 It is a non-cash expense item. 2 It is an estimated amount. 3 It is the amount of money set asid...

O-LevelAccountingPreparation of financial statementsOct/Nov 2024

Abdul is a trader. He rents out part of his warehouse to other businesses. Abdul is preparing his financial statements for the year ended 31 Decemb...

O-LevelAccountingAccounting proceduresOct/Nov 2024

What is the journal entry required to close the irrecoverable debts account at the year end?

O-LevelAccountingPreparation of financial statementsOct/Nov 2024

Which items would appear in the income statement for an accountancy business?

O-LevelAccountingThe fundamentals of accountingOct/Nov 2024

A business provided the following information. long-term loan 20 000 trade receivables 12000 trade payables 9700 bank overdraft 2000 prepaid insura...

O-LevelAccountingThe fundamentals of accountingOct/Nov 2024

What is an advantage to a trader of forming a partnership?

O-LevelAccountingPreparation of financial statementsOct/Nov 2024

Which items should be entered in the appropriation account of a partnership?

O-LevelAccountingPreparation of financial statementsOct/Nov 2024

X Limited provided the following information. ordinary share capital 300 000 general reserve 50 000 retained earnings 35000 8% debenture 60 000 Wha...

O-LevelAccountingPreparation of financial statementsOct/Nov 2024

Which item is shown in the income statement and in the statement of changes in equity of a limited company?

O-LevelAccountingPreparation of financial statementsOct/Nov 2024

The Daylee Sports Club was formed in January. During its first year the club purchased equipment costing $5000, paying by cheque. Which of the club...

O-LevelAccountingAccounting proceduresOct/Nov 2024

The following ledger account appeared in the books of a club for the year ended 31 December. Subscriptions account Jan 1 Balance b/d $2000 Dec 31 I...

O-LevelAccountingPreparation of financial statementsOct/Nov 2024

After a manufacturing account had been completed it was discovered that wages paid to factory cleaners had not been included. Which items in the ma...

O-LevelAccountingPreparation of financial statementsOct/Nov 2024

W Limited manufactures motorbikes. The following information relates to the first year in business. purchases of motorbike parts $40000 wages of fa...

O-LevelAccountingAccounting proceduresOct/Nov 2024

Anya did not keep a full set of double entry records but provided the following information. At 1 February 2022 capital $10000 At 31 January 2023 b...

O-LevelAccountingPreparation of financial statementsOct/Nov 2024

A jewellery retailer marks up his goods by 100%. He provided the following information. revenue $68 200 discount received $1080 profit for the year...

O-LevelAccountingAnalysis and interpretationOct/Nov 2024

Omar had an increase in his gross profit margin. What could have caused this?

O-LevelAccountingThe fundamentals of accountingOct/Nov 2024

Who would be interested in the value of non-current assets which a business has available as security?

O-LevelAccountingAccounting principles and policiesOct/Nov 2024

Which accounting principle is the accounting equation based on?

O-LevelAccountingAccounting principles and policiesOct/Nov 2024

Which qualitative factor requires that financial information is provided in a timely manner so that it can be used for decision making?

O-LevelAccountingThe fundamentals of accountingOct/Nov 2024

The following account appeared in the ledger of Eli. Jacob account $ $ June 1 balance b/d 220 June 4 bank 210 22 sales 400 discount 10 30 balance c...

O-LevelAccountingVerification of accounting recordsOct/Nov 2024

The totals of a trial balance agreed but it was found that the purchase of office equipment had been debited to office expenses account. Which type...

O-LevelAccountingVerification of accounting recordsOct/Nov 2024

Mandy's trial balance failed to agree. The difference of $620 was placed in a suspense account. The suspense account's balance was shown on the deb...

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