Section 3. Financial accounting (A Level) for Accounting, A Level - revisedeck

3. Financial accounting (A Level)

A section of Accounting, 9706

Listing 10 of 734 questions

X and Y are in partnership sharing profits and losses in the ratio 2 : 1. Z will be admitted with the following new arrangements. Profit and loss sharing ratio will be 2 : 1 : 2 respectively. Goodwill is valued at $90 000. Z will pay the partners for his share of the goodwill. How much will Z pay X?

9706_s19_qp_12

MCQ

2019

Paper 1, Variant 2

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Goodwill is adjusted in partners’ accounts when there is a change in the profit sharing ratio. How is this recorded?

9706_s19_qp_13

MCQ

2019

Paper 1, Variant 3

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X, Y and Z were in partnership, sharing profits equally. When Z retired from the business the assets were revalued. Goodwill was also valued but was not retained in the books of accounts. Which statement about Z’s retirement is correct?

9706_s20_qp_12

MCQ

2020

Paper 1, Variant 2

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Daisy, Freddie and Harry, who shared profits equally, had been in partnership for some years. Harry decided to retire. Harry’s capital and current accounts had credit balances of $40 000 and $8000 respectively. The total assets of the partnership had a book value of $98 000 but a realisable value of $116 000. There was no adjustment for goodwill. Which amount did Harry receive from the partnership on his retirement?

9706_s22_qp_11

MCQ

2022

Paper 1, Variant 1

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X and Y are sole traders. On 1 October 2004 they agreed to form a partnership which would take over the assets of the separate businesses. At 30 September 2004 the following information was available: X $ Y $ Goodwill 15 000 12 000 machinery 25 000 18 000 stock and debtors 8 000 3 000 cash at bank / 10 000 (4 000) What was the total of the tangible assets taken over by the partnership?

9706_w05_qp_1

MCQ

2005

Paper 1, Variant 0

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What might stop financial statements showing a true and fair view?

9706_w11_qp_11

MCQ

2011

Paper 1, Variant 1

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X and Y have been business partners for several years, sharing profits in the ratio of 2:1. Y now wishes to retire and leave X to continue with a new business partner. Y’s capital account amounts to $15 800 and his current account shows a debit balance of $3500. Goodwill is valued at $6600. The book values of certain tangible assets are to be valued upwards by $3000. What is the amount due to Y on his retirement from the business?

9706_w11_qp_12

MCQ

2011

Paper 1, Variant 2

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What might stop financial statements showing a true and fair view?

9706_w11_qp_13

MCQ

2011

Paper 1, Variant 3

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A business has a good reputation. The owner wishes to include goodwill in the financial statements. An accountant advises against it. Which accounting principle is the accountant applying?

9706_w12_qp_11

MCQ

2012

Paper 1, Variant 1

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X, Y and Z are in partnership, sharing profits, X 40%, Y 20% and Z 40%. Existing goodwill is shown...

9706_w13_qp_11

MCQ

2013

Paper 1, Variant 1

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Questions Discovered

734