IGSCE YEAR 11 ACCOUNT PAPER 1 TERM 1 2024

A trader must record all the financial information about her business if she wants to know the amount of

• her bank balance

• her debtors

• her drawings

• her profit

What is net profit?

• the amount of money taken out of the business by the owner during the year

• the cash in the business bank account

• the difference between sales and cost of sales

• sales revenue less cost of sales and expenses

A business had the following assets and liabilities.

The owner has now increased his capital in the business by $4500. What is the capital now?

• $21 500

• $28 000

• $32 500

• $43 500

Which appears in both the Trading Account and the Profit and Loss Account?

• cost of sales

• gross profit

• net profit

• sales

What information does the Balance Sheet of a business show?

• capital

• expenses

• gross profit

• sales

The owner's capital is regarded as a liability of the business. Which accounting principle is being applied?

• business entity

• consistency

• matching

• realisation

Money received from a customer must be recorded in the debtor’s account and the bank account.

What accounting principle is being applied?

• business entity

• duality

• matching

• money measurement

Which is an asset in a Balance Sheet?

• a credit balance on a supplier's account

• a credit balance on the Bank account

• a debit balance on a customer's account

• a debit balance on the Drawings account

Where should the cost of sales be entered in the final accounts of a partnership?

• Appropriation Account

• Balance Sheet

• Profit and Loss Account

• Trading Account

A trader wants his accounts to record his customers' satisfaction with his business. Which accounting principle prevents this?

• business entity

• duality

• money measurement

• realisation