霹雳怡保培南独立中学SM POI LAM (SUWA) IPOH MID YEAR EXAMINATION 2024 ACCOUNTING Paper 1 DATE: TIME : 18 MARCH 2024 0845-1000 (75 minutes) NAME：______________________ REG NO:_________________ CLASS：S2QIN, S2YI INSTRUCTIONS TO CANDIDATES You may use calculator. Do not use staples, paper clips, highlighters, glue or correction fluid.There are 35 questions on this paper. Answer all questions. The total marks of the paper is 35. Do Not Turn This Page Until You Are Told To DoSoThis paper consists of 11 printed pages Prepared by ： ………………… (KOK KIM WAH) 1. Checked by：…………………( MOGANRAJ)
1. Which statement is correct? A The accountant prepares the trial balance and the bookkeeper prepares the financial statements. B The accountant writes up the journals and the book-keeperwrites up the ledger accounts. C The book-keeper writes up the journals and the accountantprepares the trial balance. D The book-keeper writes up the ledger accounts and the accountant prepares the financial statements. 2. Where are the personal accounts of customers who buy goods oncredit found? A purchases journal B purchases ledger C sales journal D sales ledger 3. Sue allows 2% cash discount to credit customers who settle their account within 28 days. Jane purchased goods, list price$200, on 10 September. She returned these goods on 15 September. Which entry would Sue make on 15 September? A purchases returns journal $196 B purchases returns journal $200 C sales returns journal $196 D sales returns journal $200 4. Ava had $4000 in the bank. She paid a supplier $575 by chequein full settlement of $600 owing. Which changes would take place within the accounting equation? assets owner’s equity liabilities A. -$600 -$25 -$625 B. -$600 +$25 -$625 C. -$575 +$25 -$600 D. +$575 -$25 +$600 2.
5. On 1 September 2018 Chan owed Tan $570. During September 2018the following transactions took place. Tan sold goods, $380,on credit to Chan Chan returned goods, $150, to Tan Chan paid Tan $500 by cheque What was the balance brought down on Chan’s account in Tan’sledger on 1 October 2018? A $300 credit B $300 debit C $840 credit D $840 debit6. Bashir maintains a provision for doubtful debts of 3% of thetrade receivables at the end of the year. On 31 August 2017trade receivables amounted to $70 000. On 31 August 2018 tradereceivables amounted to $73 000. Which double entry should Bashir make on 31 August 2018? A Debit income statement $90 , Credit provision for doubtfuldebts account $90 B Debit income statement $2100, Credit provision for doubtfuldebts account $2100 C Debit provision for doubtful debts account $90, Credit income statement $90 D Debit provision for doubtful debts account $2100, Credit income statement $2100 7. Leroy has an engineering business. On 31 May he received aninvoice from AB Machines showing the following: cost of replacement parts for machine cost of repairs to machine cost of machine cost of installation of machine Which costs are capital expenditure in Leroy’s books? A machine, installation B machine only C replacement parts, machine D replacement parts, repairs, installation 3.
8. On 1 January 2012 Ahmed’s rent receivable account had a credit balance of $160. On 31 December 2012 he transferred $1800 from the rent receivable account to the income statement.On 1 January 2013 the rent receivable account had a credit balance of $90. How much rent did Ahmed receive in 2012? A $1550 B $1730 C $1870 D $20509. X and Y are in partnership sharing profits and losses equally.The following information was extracted from their financialrecords at 31 December. interest on capital – X $1300 – Y $1100 salary – Y $4000 The profit for the year was $24200. What was Y’s share of the residual profit? A $8900 B $10200 C $12900 D $1400010. A trader does not keep full accounting records. How can credit purchases for his first year of trading be calculated?A cheques paid + discounts received + amount owing to suppliers at year end B cheques paid + discounts received – amount owing to suppliers at year end C cheques paid – discounts received + amount owing to suppliers at year end D cheques paid – discounts received –amount owing to suppliers at year end 4.
11. Which group contains only indirect costs? A carriage inwards, factory rent, wages of factory supervisors B carriage inwards, raw materials, wages of machine operators C depreciation of machinery, factory rent, wages of factorysupervisors D depreciation of machinery, raw materials, wages of machineoperators 12. On 1 January 2017 Wayne purchased a motor vehicle for $8000.He decided to depreciate it using the reducing balance methodat 20% per annum. Which journal entry did Wayne make on 31 December 2018? Debit $ Credit $ A Income Statement Provision for depreciation 1280 1280 B Income Statement Provision for depreciation 1600 1600 C Provision for depreciation Income Statement 1280 1280 D Provision for depreciation Income Statement 1600 1600 13. A trial balance did not balance. Which error caused this? A A cheque, $300, received from M. Green was credited in thecash book and debited in M. Green’s account. B Purchase of goods from J. Black, $750, was debited in thepurchases account and credited in J. Blackshaw’s account.C Repairs, $500, were debited in the premises account. D The sales journal was overcast by $1000 5.
14. Motor repairs, $250, have been posted in error to the motorvehicles account. What is the effect on the financial statements? profit for the year non-current assetsA overstated overstated B overstated understatedC understated overstated D understated understated15. A trader provided the following information. non-current assets $137000 current assets $44500 current liabilities $18000 non-current liabilities $15500 What was the capital employed? A $110500 B $148000 C $163500 D $17900016. What may appear in the income and expenditure account of asports club? A decrease in bank balance during the year B increase in inventory of refreshments C purchase of new sports equipment D receipts from renting out clubhouse 17. A sports club provided the following information: subscriptions received during the year $12000 subscriptions in advance at the start of the year $1200 subscriptions owing at the end of the year $800 What was the amount of subscriptions shown in the income andexpenditure account? A $11600 B $12400 C $12800 D $100006.
18. A trader supplied the following information: Net assets at start of the year $30 000 Net assets at end of the year $50000 Drawings during the year $12000 Additional capital introduced during the year $18000 What was the profit for the year? A $10000 B $14000 C $20000 D $2600019. A manufacturer provided the following information: cost of raw materials consumed $20000 direct wages $10000 royalties $5000 machinery repairs $3000 What was the prime cost? A $20000 B $30000 C $35000 D $3800020. On 1 April a trader’s cash book showed a debit balance of$3204. No entry had been made in the cash book for bank charges of $78. Deposits of $288 had not been credited by thebank. What was the credit balance on the bank statement on 1 April?A $2838 B $2994 C $3414 D $357021. A company had inventory which cost $100000. The inventory wasdamaged and would cost $10000 to repair after which it couldbe sold for $80000. At which value will the inventory be shown in the company’s financial statements? A $70000 B $80000 C $90000 D $100000 22. Which item would not be entered in a statement of changes inequity? A issue of ordinary shares B ordinary share dividend proposed C profit for the year D transfer to general reserve 7.
23. A trader overvalued his year-end inventory. Which statementsare correct? 1 Current assets are understated. 2 Current liabilities are understated. 3 Gross profit is overstated. 4 Profit for the year is overstated. A 1 and 3 B 2 and 3 C 2 and 4 D 3 and424. Khalid made entries in a suspense account to correct two errors found in his ledger accounts. Once the errors were corrected, the suspense account was closed. error 1 $700 sales had been omitted from the sales account.error 2 The purchases journal had been overcast by $550. Which entry was made in the suspense account to balance thetrial balance? A credit $150 B credit $1250 C debit $150 D debit $125025. On 1 August, the sales ledger control account had a debit balance of $1800. During August, a debt of $200 was writtenoff as irrecoverable and $10 000 was received from credit customers. On 31 August, the credit customers owed $3000. What was the total of credit sales in August? A $7200 B $11 200 C $11 400 D $11 60026. Which document is used by a supplier to notify a customer ofgoods supplied, goods returned and payments received in a month? A credit note B debit note C invoice D statement 8.
27. Ravi’s financial year ends on 30 April. Ravi bought a motorvehicle for $8000 on 1 May 2020 and sold it for $4050 on 1May 2022. He uses the reducing balance method of depreciationat 20% per annum. What would be recorded in the income statement for the yearended 30 April 2023 for the disposal of the motor vehicle?A $750 loss B $750 profit C $1070 loss D $1070 profit28. On 2 January, Razia wrote off $450 owed to her by Annette,a credit customer, as irrecoverable. On 2 October, Annettepaid $100 by cheque in part settlement of that debt. Which entries would Razia make on 2 October? account to be debited account to be creditedA bank debts recovered B bank irrecoverable debtsC debts recovered bank D irrecoverable debts bank 29. A trader pays her insurance premium on 1 January each yearfor the following 12 months. She made the following paymentsfor insurance. 1 January 2022 $1680 1 January 2023 $1920 How much did the trader include for insurance in her incomestatement for the year ended 31 March 2023? A $1680 B $1740 C $1920 D $216030. When is accounting information relevant? A when it can be compared with information for other periodsB when it can be understood by the users of the accounts C when it changes business decisions D when it is free from error and bias 9.
31. Anwar’s profit for the year was $28 000. He provided the following information at the end of his financial year. current assets $80000 current liabilities $20000 non-current assets $140000 Non- current liabilities $88000 What was the profit for the year as a percentage of capitalemployed? A 7% B 14% C 20% D 25% 32. Chin’s trial balance does not agree by $89 and this amountis credited to a suspense account. It is found that the salesaccount has been undercast by $ 89. Which entry should be made to correct this error? account to be debited account to be creditedA trade receivable $89 suspense $89 B sales $89 suspense $89 C suspense $89 trade receivable$89D suspense $89 sales $89 33. Kate calculated her draft profit for the year at $28 400. Shelater discovered the following errors. 1 Rent prepaid by Kate was understated by $1000. 2 Closing inventory was understated by $1500. What was the correct profit for the year? A $25 900 B $27 900 C $28 900 D $30 90034. On 1 January 2019 current assets totalled $16000 and the current ratio was 2 :1. On 31 December 2019 the current liabilities had increased by 50% and the current ratio was1.5 : 1. What was the value of the current assets on 31 December 2019? A $16000 B $18000 C $32000 D $3600010.
35. Stephan’s major competitor has invested in a new machine formaking goods more cheaply. Stephan knows this will affect hissales but did not record this in his accounting records. Which accounting principle is Stephan applying? A going concern B materiality C money measurement D prudence 11.
