Free CIMA BA3 - Fundamentals of Financial Accounting CIMAPRA17-BA3-1 Exam Questions

''To assure shareholders that the stewardship of the organization was effectively carried out.''

What does this definition describe?

W and Partners has an opening capital balance at 1 January of 14,640 credit.

During the period there was an increase in assets of 6,820 and an increase in liabilities of 5,400.

The balance on the capital account at the end of the period is:

The financial statements are produced in accordance with relevant accounting standards. This compliance ensures the requirement of fair presentation of transactions and events is met

How is this compliance emphasized?

Which of the following entries would result in the trial balance not agreeing?

(a) An invoice for 200 for electricity has been omitted from the ledgers

(b) A payment received from a customer has been posted to the accounts twice

(c) An invoice for repairs and maintenance has been charged to the non-current asset account

(d) A payment made to suppliers had been recorded in the cash book but not recorded in the supplier's account

Which of the following would be a good method of segregating the duties of staff?

Which of the following financial documents contains the manufacturing account?

Refer to the Exhibit.

The purchase ledger control account shows a balance of 324,564, while the individual customer account balances total 328,234.

Which of the following is a possible explanation for the difference between the two?

MNO operates an imprest system to maintain a float of petty cash of 5100 At the end of the week the petty cash expense vouchers total $76 and there is $36 cash in the float. Which of the following, taken independently, would explain this difference of $10?

Refer to the exhibit.

The following ratios have been calculated for A Limited:

The return on capital employed for A Limited is therefore

An asset may best be defined as:

In times of rising prices, the 'FIFO' method of inventory valuation, when compared to the 'Average Cost' method of inventory valuation, will usually produce:

Refer to the Exhibit.

Wilton Limited is preparing its year-end accounts and is calculating a revised allowance for receivables.

An aged receivables schedule shows the following position:

Included in the 3 months plus debt is an amount of $2,300 for a customer that has recently gone into liquidation. The current allowance for receivables is $4,200.

The charge to the income statement for the period and the net receivables figure on the statement of financial position will be:

The concept of stewardship refers to which ONE of the following?

Refer to the Exhibit.

Your organization bought a machine for 50,000 at the beginning of year 1, which had an expected useful life of four years and an expected residual value of 10,000; the machine was depreciated on the straight-line basis.

At the beginning of year 4, the machine was sold for 13,000

The total amount of depreciation charged to the income statement over the life of the machine, and the amount of profit or loss on disposal was:

The answer is:

JW's debits total 10,502 for this period. JW's credits total 8,940.

What amount does JW's accountant need to include in the company's suspense account to make the transactions balance?