Accounting Multiple Choice Question – 27 March 2023

Events occurring after a Statement Of Financial Position date are classified as either ‘adjusting events’ or ‘non-adjusting events’.

Which is an example of an ‘adjusting event’?

Select ONE answer:

1. change in interest rates
2. the issue of loan stock
3. the insolvency of a major debtor
4. the purchase of a new vehicle

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 3

1. Not correct
2. Not correct
3. Correct
4. Not correct

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