AQA-71271-Financial Accounting Question Paper 1

Please write clearly in block capitals. Centre number Candidate number Surname Forename(s) Candidate signature I declare this is my own work. A-level ACCOUNTING Paper 1 Financial Accounting Time allowed: 3 hours Materials For this paper you must have: • a calculator. Instructions • Use black ink or black ball-point pen. • Fill in the boxes at the top of this page. • Answer all questions. • You must answer the questions in the spaces provided. Do not write outside the box around each page or on blank pages. • If you need extra space for your answer(s), use the lined pages at the end of this book. Write the question number against your answer(s). • Do all rough work in this answer book. Cross through any work you do not want to be marked. Information • The marks for each question are shown in brackets. • The maximum mark for this paper is 120. 7127/1 For Examiner’s Use Section Mark A B C TOTAL 2 Do not write outside the Section A Answer all questions in this section. box Only one answer per question is allowed. For each question completely fill in the circle alongside the appropriate answer. CORRECT METHOD WRONG METHODS If you want to change your answer you must cross out your original answer as shown. If you wish to return to an answer previously crossed out, ring the answer you now wish to select as shown. Statement 1: An accountant is the only person who can complete the double entry book-keeping. Statement 2: If an accountant completes the financial statements for a business, they will be error free. Which of the following is correct? [1 mark] A Only statement 1 is true. B Only statement 2 is true. C Statements 1 and 2 are both true. D Neither statement is true. Which definition best describes the accruals concept? [1 mark] A Income and expenditure are matched to the period they belong to. B Income and expenditure are spread evenly across each year. C Only income is matched to the period it belongs to. D Only income is spread evenly across each year. 2 0 1 0 3 Do not write outside the box 0 3 Which is the correct formula for the liquid capital ratio? [1 mark] A Current assets Current liabilities × 100 B Current assets Current liabilities C Current assets − closing inventory Current liabilities × 100 D Current assets − closing inventory Current liabilities 0 4 Which of the following correctly lists items to be shown in a partnership appropriation account? [1 mark] A Drawings, interest on capital, partner salaries B Drawings, interest on capital, capital introduced C Interest on drawings, partner salaries, share of residual profits D Interest on drawings, capital introduced, share of residual profits