Cambridge & Pearson Edexcel Past Paper Questions
Browse 35,704 questions from Cambridge O-Level & A-Level and Pearson Edexcel IGCSE & IAL exams. Click any question to practice.
A business uses the weighted average (AVCO) method to value its inventory. It purchased the following units of inventory. units cost per unit $ t...
A business provides the following information. month number of machine hours overheads $ April 34000 493 000 May 67000 625 000 The variabl...
A business absorbs its fixed overheads using direct labour hours. The following information is provided. actual budgeted overheads $600 000 $50...
A company sells a single product for $24 per unit. The variable cost is $8 per unit. Fixed costs have been absorbed based on a normal activity leve...
A product has the following revenue and costs per unit. $ selling price 40 marginal cost 22 fixed manufacturing overhead 6 non-manufacturing ov...
Which statements about cost-volume-profit analysis are correct? 1 It applies over any time period. 2 It is suitable for any range of output. 3 Prof...
Total costs at two levels of production are as follows. units $ 10000 230 000 16000 320 000 Fixed costs will increase by $30000 if more than ...
Which are benefits of a budgetary control system? 1 It can be used to control expenditure. 2 It can be used to record accounting transactions. 3 It...
A trader has prepared financial statements which include unpaid wages to her employees. Which accounting concept is being applied?
On which basis will non-current assets be valued if the business is not a going concern?
A business has a financial year end of 31 December. It depreciates its machinery on a month-by-month basis. It uses the straight-line method at 10%...
A business purchased a non-current asset for $500000 with an expected life of 20 years. After that time it was expected to be sold for $100000. It ...
Which items are capital expenditure? 1 payment of wages to staff to install new equipment 2 purchase of a new computer for office 3 purchase of spa...
A sales ledger control account showed a debit balance of $15000. The following errors were discovered. 1 Returns outwards, $200, had been credited ...
The bank account had a debit balance of $5760 in the cash book at 31 May. The following items were identified when reconciling the bank account wit...
A trader maintains a full set of accounting records. Each month she issues many sales invoices. Where does she record an individual sales invoice?
Brian had a service business which held no inventory. His current assets and current liabilities at 1 April were as follows. $Trade receivables: 1...
Frieda's provision for the doubtful debts account for the year included a debit entry representing the change in the amount provided. The rate of p...
A trader's income statement recorded sales, $10000, and cost of sales, $7070. The trader had taken goods for his own use during the year, cost $280...
William buys radios for $10 each and sells them for $15 each. His draft statement of financial position included a value of $1500 for inventory. Hi...
A sole trader has not kept a full set of double-entry records. The following information relates to the business for the year ended 31 March 2021. ...
Which statement is correct in the absence of a partnership agreement?
X and Y are in partnership sharing profits and losses equally. They have combined capital account balances of $200 000. Z was admitted as a partner...
A company's statement of financial position at 1 January 2020 included the following amounts. $Ordinary shares of $5 each: 800 000 General reserve...
A company revalued its premises upwards. Which statement about the increase in value is correct?
The table shows equity and liabilities of a company at 31 December 2020. $Ordinary share capital: 750 000 6% Debentures (2030): 150000 Bank loan (...
The non-current asset turnover of a business improved between 2020 and 2021, even though the net revenue was the same for both years. What caused t...
A business provides the following information. $Trade payables: 39 540 Opening inventory: 15450 Closing inventory: 32780 Credit purchases: 184 600...
When a company produces 5000 units of a product it requires one supervisor. If production is increased beyond 5000 units then two supervisors are r...
A business employs 20 workers as production staff. Each worker is employed for 40 hours per week at a rate of $7.80 per hour. Bonus is calculated a...
A business uses absorption costing to set its selling prices. Which overheads are accounted for by the use of the overhead absorption rate?
A business uses absorption costing and applies a mark-up of 50% when setting selling prices. Each unit of product X has a direct cost of $60 and a ...
A business had no opening inventory. In one month it produced 4000 units and sold 3500 units. The following information is available. Per unit $Se...
Which costs are part of the marginal cost of a product? 1 direct material 2 fixed production 3 fixed selling and distribution 4 variable production
A company provided the following information. $Variable costs: 540 000 Contribution: 360 000 Fixed production costs: 100 000 Fixed selling and dis...
Details for two products made by a company were as follows. Product X $Selling price per unit: 13 Variable cost per unit: 11 Product Y $Selling p...
A manufacturer has a target profit of $80000 per annum. Last year the business made a profit of $60000 when 10000 units were produced and sold. Con...
Which are advantages of a budgetary control system? 1 Budgets help to prepare year-end financial statements. 2 Budgets may be set at easily achieva...
Which items would be entered in the General Journal? 1 goods taken by owner for personal use 2 goods purchased for resale 3 purchase of a non-curre...
Why is it important for a trader to distinguish between capital expenditure and revenue expenditure? 1 to apply the realisation concept 2 to know w...
A company purchased a new vehicle for $30000. It part-exchanged an existing vehicle at a value of $6500, with the balance being paid by cheque. The...
At 31 December 2021 a business had a non-current asset with a net book value of $18000. It had been purchased during the year ended 31 December 202...
Which item is an error of principle?
The sales ledger control account of a business had a balance of $17640. This did not agree with the total of the individual customer accounts in th...
The totals on a trial balance were: debit $500 150 credit $500 000 Which error could have caused the difference?
A draft statement of financial position for a business showed total net assets of $600000. The following items were then discovered. 1 A long-term ...
A company has produced draft financial statements for the year. It is then discovered that some inventory is damaged and the value must be reduced....
A trader took out a 6% bank loan of $30000 on 1 November 2021, to be repaid in full in 10 years' time. Interest is to be paid annually. No interest...
In preparing the financial statements, an accrual for rent payable was treated as a prepayment. What effect does this have on the profit and the cu...
A sole trader is preparing his income statement for the year ended 31 December 2021, his first year of trading. The following information is availa...