Day: September 26, 2023

Accounting Multiple Choice Question – 26 September 2023

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

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The table shows how a property appears in the statement of financial position of Alex ltd:

  • land and buildings – £100k
  • accumulated depreciation – £40k
  • net book value – £60k

The land and buildings are revalued to £150k

What is the journal entry to record the revaluation?

Select ONE answer:

  1. Dr land and buildings £50k AND CR Income Statement £50k
  2. Dr land and buildings £50k accumulated depreciation £40k AND CR revaluation reserve £90k
  3. Dr land and buildings £50k AND CR revaluation reserve £50k
  4. Dr land and buildings £90k AND CR revaluation reserve £90k

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 2

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

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