Cambridge International AS & A Level Cambridge International AS & A Level
ACCOUNTING 9706/12 ACCOUNTING 9706/12
Paper 1 Multiple Choice February/March 2026 Paper 1 Multiple Choice February/March 2026
1 hour MARK SCHEME
Maximum Mark: 30
You must answer on the multiple choice answer sheet.
You will need: Multiple choice answer sheet
*
Soft clean eraser
Published
Soft pencil (type B or HB is recommended)
INSTRUCTIONS
• There are thirty questions on this paper. Answer all questions.
*
This mark scheme is published as an aid to teachers and candidates, to indicate the requirements of the
• For each question there are four possible answers A, B, C and D. Choose the one you consider correct examination.
and record your choice in soft pencil on the multiple choice answer sheet.
• Follow the instructions on the multiple choice answer sheet. Mark schemes should be read in conjunction with the question paper and the Principal Examiner Report for
• Write in soft pencil. Teachers.
• Write your name, centre number and candidate number on the multiple choice answer sheet in the
spaces provided unless this has been done for you. Cambridge International will not enter into discussions about these mark schemes.
• Do not use correction fluid or tape. Cambridge International is publishing the mark schemes for the February/March 2026 series for most
• Do not write on any bar codes. Cambridge IGCSE, Cambridge International A and AS Level components, and some Cambridge O Level
• You may use a calculator. components.
INFORMATION
• The total mark for this paper is 30.
• Each correct answer will score one mark.
• Any rough working should be done on this question paper.
This document has 12 pages. Any blank pages are indicated.
03_9706_12_2026_1.20 This document consists of 3 printed pages.
Cambridge University Press & Assessment 2026 [Turn over
Cambridge University Press & Assessment 2026 [Turn over
, 2 9706/12 Cambridge International AS & A Level – Mark Scheme February/March 2026
PUBLISHED
1 Which statement about a sole trader is not correct?
Question Answer Marks
A Additional capital can be brought in at any time. 1 C 1
B Drawings are unlimited.
2 C 1
C Liabilities are limited to the capital introduced.
3 D 1
D The ability to raise finance may be limited.
4 D 1
2 Which sources of finance are only available to limited companies? 5 A 1
1 bank overdrafts 6 B 1
2 debentures 7 B 1
3 rights issues 8 A 1
4 secured loans
9 D 1
A 1 and 2 B 2, 3 and 4 C 2 and 3 only D 3 and 4 only
10 A 1
11 A 1
3 The owner of a business settled the account of a trade payable by a bank transfer of $760 after
deducting a cash discount of 5%. 12 A 1
What correctly records the entry for the cash discount in the cash book of the business? 13 B 1
A discount allowed $38 14 A 1
B discount allowed $40 15 C 1
C discount received $38
16 C 1
D discount received $40
17 D 1
4 A sole trader debited an item of capital expenditure to an expense account. The financial statements 18 B 1
for the year were then prepared.
19 A 1
Which statement is correct? 20 C 1
A The closing capital was overstated. 21 C 1
B The expenses for the year were understated. 22 D 1
C The non-current assets were overstated.
23 B 1
D The profit for the year was understated.
24 B 1
25 D 1
26 B 1
27 B 1
28 C 1
Cambridge University Press & Assessment 2026 03_9706_12_2026_1.20
Cambridge University Press & Assessment 2026 Page 2 of 3
ACCOUNTING 9706/12 ACCOUNTING 9706/12
Paper 1 Multiple Choice February/March 2026 Paper 1 Multiple Choice February/March 2026
1 hour MARK SCHEME
Maximum Mark: 30
You must answer on the multiple choice answer sheet.
You will need: Multiple choice answer sheet
*
Soft clean eraser
Published
Soft pencil (type B or HB is recommended)
INSTRUCTIONS
• There are thirty questions on this paper. Answer all questions.
*
This mark scheme is published as an aid to teachers and candidates, to indicate the requirements of the
• For each question there are four possible answers A, B, C and D. Choose the one you consider correct examination.
and record your choice in soft pencil on the multiple choice answer sheet.
• Follow the instructions on the multiple choice answer sheet. Mark schemes should be read in conjunction with the question paper and the Principal Examiner Report for
• Write in soft pencil. Teachers.
• Write your name, centre number and candidate number on the multiple choice answer sheet in the
spaces provided unless this has been done for you. Cambridge International will not enter into discussions about these mark schemes.
• Do not use correction fluid or tape. Cambridge International is publishing the mark schemes for the February/March 2026 series for most
• Do not write on any bar codes. Cambridge IGCSE, Cambridge International A and AS Level components, and some Cambridge O Level
• You may use a calculator. components.
INFORMATION
• The total mark for this paper is 30.
• Each correct answer will score one mark.
• Any rough working should be done on this question paper.
This document has 12 pages. Any blank pages are indicated.
03_9706_12_2026_1.20 This document consists of 3 printed pages.
Cambridge University Press & Assessment 2026 [Turn over
Cambridge University Press & Assessment 2026 [Turn over
, 2 9706/12 Cambridge International AS & A Level – Mark Scheme February/March 2026
PUBLISHED
1 Which statement about a sole trader is not correct?
Question Answer Marks
A Additional capital can be brought in at any time. 1 C 1
B Drawings are unlimited.
2 C 1
C Liabilities are limited to the capital introduced.
3 D 1
D The ability to raise finance may be limited.
4 D 1
2 Which sources of finance are only available to limited companies? 5 A 1
1 bank overdrafts 6 B 1
2 debentures 7 B 1
3 rights issues 8 A 1
4 secured loans
9 D 1
A 1 and 2 B 2, 3 and 4 C 2 and 3 only D 3 and 4 only
10 A 1
11 A 1
3 The owner of a business settled the account of a trade payable by a bank transfer of $760 after
deducting a cash discount of 5%. 12 A 1
What correctly records the entry for the cash discount in the cash book of the business? 13 B 1
A discount allowed $38 14 A 1
B discount allowed $40 15 C 1
C discount received $38
16 C 1
D discount received $40
17 D 1
4 A sole trader debited an item of capital expenditure to an expense account. The financial statements 18 B 1
for the year were then prepared.
19 A 1
Which statement is correct? 20 C 1
A The closing capital was overstated. 21 C 1
B The expenses for the year were understated. 22 D 1
C The non-current assets were overstated.
23 B 1
D The profit for the year was understated.
24 B 1
25 D 1
26 B 1
27 B 1
28 C 1
Cambridge University Press & Assessment 2026 03_9706_12_2026_1.20
Cambridge University Press & Assessment 2026 Page 2 of 3
