Month: October 2023

Accounting Multiple Choice Question – 6 October 2023

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

Photo by Olya Kobruseva on Pexels.com

The inventory records of a Alex Trading Ltd show the following information for product Z:

  • 1 January: opening balance – 100 units at a value of £3
  • 3 January: receipts into inventory – 50 units at a value of £4
  • 8 January: inventory issued – 120 units

What is the value of the inventory issued on 8 January using the First In First Out (FIFO) method?

Select ONE answer:

  1. £360
  2. £380
  3. £410
  4. £420

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 == > £100 * £3 + 20 * £4
  3. Not correct
  4. Not correct

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This work is licensed under a Creative Commons Attribution 4.0 International License.

Accounting Multiple Choice Question -5 October 2023

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

Photo by Nataliya Vaitkevich on Pexels.com

Which transaction would appear in BOTH the receipts and payments account and the income and expenditure account of Milford cricket club?

Select ONE answer:

  1. the club bank balance
  2. the depreciation of the club pavilion
  3. the purchase of a motorised lawn mower
  4. the rent of the cricket ground

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 4

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

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.

Accounting Multiple Choice Question -4 October 2023

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

Photo by Nataliya Vaitkevich on Pexels.com

Alex Trading sells some of its inventory for £100 on credit to a customer.

The inventory originally cost £50.

Which statement below reflects the effect of this transaction on the statement of financial position?

Select ONE answer:

  1. current assets: decrease by £50 AND owner’s capital: decreases by £50
  2. current assets: decrease by £50 AND owner’s capital: increases by £50
  3. current assets: increase by £50 AND owner’s capital: decreases by £50
  4. current assets: increase by £50 AND owner’s capital: increases by £50

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 4

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

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.

Accounting Multiple Choice Question – 3 October 2023

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

Photo by Pixabay on Pexels.com

Alex Ltd’s capital expenditure of £200,000 has been debited in error to the purchases account.

Depreciation is provided at the rate of 15 % per annum on the cost of all non-current assets held at each year end.

How will this affect the net profit?

Select ONE answer:

  1. £170,000 understated
  2. £200,000 overstated
  3. £200,000 understated
  4. £230,000 overstated

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 1

  1. Correct – £200k * 0.85
  2. Not correct
  3. Not correct
  4. Not correct

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.

Accounting Multiple Choice Question – 2 October 2023

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

Photo by Pixabay on Pexels.com

How can net profit be calculated?

Select ONE answer:

  1. Closing Capital + Drawings – Additional Capital – Opening Capital
  2. Closing Capital – Drawings + Additional Capital – Opening Capital
  3. Opening Capital + Drawings – Additional Capital – Closing Capital
  4. Opening Capital – Drawings – Additional Capital – Closing Capital

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 1

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

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.