Tag: Cambridge Assessment

Accounting Multiple Choice Question – 10 December 2023

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

apple devices books business coffee
Photo by Serpstat on Pexels.com

What best describes the cost of direct materials plus direct labour costs?

Select ONE answer:

  1. absorption cost
  2. marginal cost
  3. prime cost
  4. total cost

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

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

Accounting Multiple Choice Question – 9 December 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

Which name is given to the difference between a company’s actual sales and break-even sales?

Select ONE answer:

  1. margin of safety
  2. marginal cost
  3. marginal C-V-P (cost-volume-profit) analysis
  4. marginal revenue

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.

Accounting Multiple Choice Question – 8 December 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 plc has an issued ordinary share capital of 240,000 ordinary shares of £0.50 each.

The company pays a total ordinary share dividend of £9,600.

The current market price of an ordinary share is £3.20.

What is the current dividend yield?

Select ONE answer:

  1. 1.25%
  2. 2%
  3. 4%
  4. 8%

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 – DY = Dividend per Share / Price per share – (9,600 / 240,000) / £3.20 = 1.25%
  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 – 6 December 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 actions would improve the liquidity (acid test) ratio of Alex Trading Ltd in the short term?

  • receivables paying their debts
  • delaying paying payables
  • selling a number of surplus non-current assets
  • selling inventory

Select ONE answer:

  1. 1 and 2
  2. 2 and 3
  3. 1 and 4
  4. 3 and 4

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 December 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

At the beginning of the year Alex Trading plc has authorised share capital of 800,000 ordinary shares of £0.25 each and an issued share capital of 400,000 ordinary shares of £0.25.

During the year, Alex Trading plc makes a further issue of 200,000 ordinary shares at a price of £0.60.

What is the balance on the share capital account at the end of the year?

Select ONE answer:

  1. £150,000
  2. £22,0000
  3. £250,000
  4. £350,000

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 – (400,000 * £0.25) + (200,000 * £0.25)
  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.