What should be the closing balance on the account when the errors are corrected?

• A/ 151,500,000 KHR

• B/ 109,100,000 KHR

• C/ 159,100,000 KHR

• D/ 148,500,000 KHR

At 1 January 20X9 a company had an allowance for irrecoverable debts of 32,000,000

KHR.

At 31 December 20X9 the company’s trade receivables were 620,000,000 KHR.

It was decided to write off bad debts totalling 40,000,000 KHR and to adjust the

allowance for irrecoverable debts to 5% of receivables (based on past experience).

What figure should appear in the statement of profit or loss for the total of debts written

off and the movement in the allowance for irrecoverable debts, for the year ended 31

December 20X9?

• A/ 37,000,000 KHR

• B/ 39,000,000 KHR

• C/ 41,000,000 KHR

• D/ 43,000,000 KHR

A business has a debit balance on its cash book of 2,020,000 KHR. In reconciling the

cash book balance with the bank statement balance, it is discovered that the bank

statement does not show cheques received and banked from customers for 400,000

KHR or cheque payments to suppliers for 700,000 KHR. The bank statement also

shows bank charges of 60,000 KHR and a direct debit payment of 230,000 KHR. None

of these items have yet been recorded in the ledger.

What is the balance on the bank statement?

• A/ 2,320,000 KHR

• B/ 1,720,000 KHR

• C/ 2,030,000 KHR

• D/ 1,430,000 KHR

A business rents an office but sub-lets some space.

Rent is received quarterly in advance, on 1 January, 1 April, 1 July and 1 October. The

annual rental charge has been 36,000,000 KHR for some time, but it was increased to

42,000,000 KHR from 1 July 20X8.

What amounts for this rent should appear in the trial balance of the business for the

year to 28 February 20X9 after all necessary adjustments have been made?

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A business has a debit balance on its receivables control account of 13,240,000 KHR

but the total of the list of receivables ledger balances is 14,500,000 KHR. The following

errors have been discovered so far:

1 The sales returns day book was overcast by 100,000 KHR

2 A discount allowed to a customer of 40,000 KHR had been entered onto the

wrong side of the customer’s account in the receivables ledger

3 A credit balance of 120,000 KHR had been listed as a debit balance when

totalling the list of individual balances.

When these errors have been corrected what is the remaining difference between the

control account total and the total of the list of receivables balances?

• A/ 840,000 KHR

• B/ 1,000,000 KHR

• C/ 1,040,000 KHR

• D/ 960,000 KHR

What should be the correct balance shown in the cash book?

• A/ 15,050,000 KHR (as shown above)

• B/ 3,830,000 KHR balance at bank

• C/ 1,690,000 KHR balance at bank

• D/ 1,690,000 KHR overdraft

Which of the following could be used to estimate the profit earned by a business during a period?

• A- Closing net assets plus drawings minus new capital introduced minus opening

  net assets.

• B- Closing net assets plus drawings plus new capital introduced minus opening net

  assets.

• C- Closing net assets minus drawings minus new capital introduced minus opening

  net assets.

• D- Closing net assets minus drawings plus new capital introduced minus opening

  net assets.

At 30 September 20X8, a company's allowance for doubtful debts was 40,000,000

KHR. This represented five per cent of the receivables at that date.

At 30 September 20X9 receivables were 725,000,000 KHR. It was decided to write off

35,000,000 KHR in debts as bad, and to keep the allowance for doubtful debts at five

per cent of receivables.

What is the total expense for bad and doubtful debts that should be recognised in the

trial balance for the year to 30 September 20X9 after all necessary adjustments have

been made?

• A/ 38,750,000 KHR

• B/ 40,500,000 KHR

• C/ 29,500,000 KHR

• D/ 31,250,000 KHR

A telephone bill has been mistakenly debited to the electricity expense account.

What type of error is this?

• A -Error of principle

• B -Error of commission

• C -Error of original entry

• D -Compensating error

Sun’s daughter is not involved in the running of the business.

What was the profit of the business for the year to 31 December 20X9?

• A/ 52,000,000 KHR

• B/ 77,000,000 KHR

• C/ 84,000,000 KHR

• D/ 102,000,000 KHR