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.
L and M are in partnership. Which item should appear in the partnership appropriation account?
A company is set up with an authorised share capital of $3 million. It plans to purchase immediately a factory for $1 million. Preliminary expenses...
At 1 January 2009 the capital structure of a company was as follows. issued share capital 100 000 ordinary shares of $1 each $100 000 share premium...
When is a share premium account opened?
A company buys and re-sells goods. It has a higher gross profit margin than its rivals. Which reason could explain this?
A business has trade payables (creditors) of $8000 and a bank overdraft of $2000. Its current ratio is 2:1 and its quick (acid test) ratio is 1.5:1...
A company's sales during a 365 day year are shown in the table. cash sales $179 580 credit sales $927 100 total sales $1 106 680 The trade receivab...
The following information is given about four products. inventory (stock) turnover (per annum), average inventory (stock) in units, mark up on cost...
A soup manufacturer uses batch costing. It produces a batch of 10 000 tins of soup with a direct materials cost of $2500. Direct labour involved 20...
The table shows costs at three activity levels. activity levels 65 units, 90 units, 100 units fixed cost ?, ?, ? variable cost ?, ?, ? total cost $...
A customer places an order for 20 000 bricks. Which costing method will the supplier use to price the order?
A company has total production costs of $6000 to make 10 000 units, and $13 000 to make 24 000 units. What is its total cost to make 20 000 units?
A business makes wedding dresses. Each machinist is paid $30 a day and each supervisor $40 a day. Each supervisor can work with up to 10 machinists...
The graphs show projected sales and cost information for products X and Y.
A business purchases a vehicle for $10 000. The business depreciates its non current (fixed) assets at 20% using the diminishing value method. What...
Accountants prefer the commercial reality of a transaction to a strictly legal approach. Which accounting principle is being applied?
There is great uncertainty about the continuance of a business. This has caused the proprietor to make a large reduction in the valuation of the ye...
The cash book of a business shows a credit balance of $12 500 at 30 June. Bank charges of $2000 have not yet been entered in the cash book. A chequ...
Closing inventory has been overvalued. What is the effect on the financial statements? net current assets overstated, profit from operations overst...
At the year end a company discovers that some inventory is damaged. This inventory originally cost $2000 and to replace it would now cost $1900. It...
A club charges each of its 100 members an annual subscription of $12. At the end of a year four members had not paid their annual subscription. Wha...
How should goodwill be treated by a limited company?
A company issues for cash 50 000 shares of $5 each at a premium of $15 each and $300 000 4% debentures. By what amount will the net assets of the c...
An extract from Bumble Ltd's balance sheet shows the following. $000 ordinary shares of $0.25 each 500 share premium 100 retained earnings 300 The ...
A business paid $10 000 for waste disposal in the year. The opening prepayment was $1500 and the closing accrual was $2000. What was the charge for...
The non-current assets of a business are shown. end of year $ start of year $ cost 360 000 300 000 accumulated depreciation 120 000 75 000 net book...
Which transaction would increase the current assets of a business?
The following summarised information has been taken from the balance sheet of a partnership. $ non-current assets 42 000 capital accounts 36 000 cu...
What is the main use of a computerised age analysis of debtors?
A manufacturing company has the following balances at its year end. $ closing inventory of raw materials 24 500 direct manufacturing wages 162 800 ...
A partnership provides the following financial information for the year ended 30 June 2011. $000 profit from operations 240 bank interest payable 2...
A new business was established with opening capital of $20 000. At the end of the first year, assets less liabilities were $26 000. The owner withd...
The annual accounts of a business include the following. $ revenue 160 000 opening inventory 10 000 closing inventory 14 000 Inventory turnover is ...
A company's profit from operations was $128 000. Interest payable was $8000. The following amounts were included in the company's balance sheet. $ ...
A business has $10 000 in the bank and buys inventory for $6000 paying by cheque. What is the effect of this on its current ratio and quick (acid t...
The following data is available at the end of a financial year. opening inventory $60 000 purchases $420 000 closing inventory $80 000 mark up 25% ...
Which cost will decrease as production is increased?
A business sells its product for $50 a unit and has variable costs of $30 per unit. Its fixed costs for this year were $200 000. Next year, fixed c...
A business has sales of $250 000, fixed costs of $50 000 and a contribution/sales ratio of 30%. What is the profit?
A business provides the following information for a month. actual direct labour hours worked 8000 actual overhead expenditure $88 000 budgeted dire...
The following information is provided by a company for a month. actual direct labour hours worked 4500 budgeted direct labour hours 5000 budgeted o...
What do the break-even charts show regarding the profitability of and risk attaching to products 1 and 2? [Break-even chart for product 1] [Break-e...
Which graph shows the fixed cost per unit produced in a manufacturing process?
A company's sales are made evenly over a year (360 days). 10% of the sales are for cash, debtors total $26 700 and the trade receivables turnover p...
A business sells goods at a mark up of 33.3%. Information for a year is given. $ revenue 600 000 opening inventory 53 000 closing inventory 68 000 ...
The table shows opening and closing balances for the rent receivable account. start of year $ rent received in advance 4200 rent due in arrears 2...
A non-current asset costing $206 000, with a net book value of $131 000, is revalued to $275 000. How should the revaluation be recorded?
A business buys a machine on hire purchase for $50 000. Although it will not own the machine until it has paid the final instalment, it has made th...
A sole trader owns a vehicle valued at $4000 for his own use and a vehicle valued at $2500 for business use. On 1 April 2012 he sold the business v...
Which accounting principle means that a company's financial statements are comparable from one period to the next?