Tag: Topic 16

Accounting Multiple Choice Question – 24 October 2023

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

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Certain information concerning Non-current Assets must be disclosed in the notes to the financial statements.

To which of the following does this rule not apply?

Select ONE answer:

  1. economic useful life of asset
  2. method of depreciation used
  3. scrap value of asset
  4. total depreciation for period

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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Accounting Multiple Choice Question – 23 October 2023

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

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Extracts from the statement of financial position of Alex Trading plc show:

                                                                            
             at 30 September year 2022       at 30 September year 2023

net assets £16,000 £24,000

financed by:

issued share capital £10,000 £15,000
share premium account NIL £2,500
revaluation reserve £500 £800
retained earnings £3,500 £4,200
debentures £2,000 £1,500

                                                                            £16,000                                         £24,000

What is the net cash movement from ‘Financing’ for the year ended 30 September 2023?

Select ONE answer:

  1. £7,000
  2. £7,300
  3. £7,500
  4. £8,000

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 == > £15,000k – £10,000k + £2,500 + (£1,500 – £2,000)
  2. Not correct
  3. Not correct
  4. Not correct

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Accounting Multiple Choice Question – 22 October 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
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Which heading in a company’s cash flow statement would include an investment of surplus funds for six months?

Select ONE answer:

  1. capital expenditure and financial investment
  2. financing
  3. management of liquid resources
  4. returns on investment and servicing of finance

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 – 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

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

Accounting Multiple Choice Question – 3 September 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

Alex plc has issued £1,000.000 of 8 % convertible loan shares, which the holder can convert in November 2026 into ordinary shares at a rate of one share for each £2.00 of loan share held.

What is the correct presentation in the final accounts for the year ended 31 December 2023?

Select ONE answer:

  1. Statement Of Financial Accounts: Non-Current Liability £1,000,000 AND Income Statement: Dividend £80,000
  2. Statement Of Financial Accounts: Non-Current Liability £1,000,000 AND Income Statement: Interest £80,000
  3. Statement Of Financial Accounts: Share Capital £500,000 AND Income Statement: Dividend £40,000
  4. Statement Of Financial Accounts: Share Capital £500,000 AND Income Statement: Interest £40,000

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 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.