Accounting Multiple Choice Question – 23 July 2022

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

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A building cost £340 000 several years ago.

At 30 June 2004 the accumulated depreciation on the building was£47 600 and it was decided to revalue the building to its market value of £560 000.

What will be the balance on the Revaluation Reserve?

Select ONE answer:

  1. £172 400
  2. £220 000
  3. £267 600
  4. £512 400

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 ==> £560,000 – £340,000 = £220,000 + £47,600
  4. Not correct

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Accounting Multiple Choice Question – 22 July 2022

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

Why is a provision for depreciation made in accounts?

Select ONE answer:

  1. to charge the cost of fixed assets against profits
  2. to make a provision for repairs
  3. to make cash available to replace fixed assets when necessary
  4. to show the current market values of fixed assets

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

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

Accounting Multiple Choice Question – 21 July 2022

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

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Under which heading should negative Goodwill be included in a company’s Balance Sheet?

Select ONE answer:

  1. capital reserves
  2. intangible fixed assets
  3. revenue reserves
  4. share 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 2

  1. Not correct
  2. Correct
  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 – 20 July 2022

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

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What appears as a credit in the Appropriation Account of a partnership?

Select ONE answer:

  1. Goodwill
  2. interest on capital
  3. net trading profit
  4. partnership salaries

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

Accounting Multiple Choice Question – 19 July 2022

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

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Photo by Serpstat on Pexels.com

Which items are included in prime cost?

  1. royalties on goods produced
  2. closing stock of work in progress
  3. depreciation of factory equipment
  4. opening stock of raw materials

Select ONE answer:

  1. 1, 3 and 4 only
  2. 1 and 4 only
  3. 2, 3 and 4 only
  4. 3 and 4 only

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

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