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| Section | Weight | Objectives |
|---|---|---|
| Accounting Principles, Concepts and Regulations | 10% | - Nature and objective of financial accounting - Elements of financial statements - Conceptual and regulatory framework - Accounting standards and principles |
| Recording Accounting Transactions | 50% | - Correction of errors and control accounts - Double-entry bookkeeping and ledger accounts - Reconciliations (bank, receivables, payables) - Accounting for assets, liabilities, equity and expenses - Sources of records and books of prime entry |
| Preparation of Accounts for Single Entities | 30% | - Preparation of income statement - Manufacturing and inventory accounting - Adjusting entries and trial balance - Preparation of simple cash flow statement - Preparation of statement of financial position |
| Analysis of Financial Statements | 10% | - Interpretation using accounting ratios - Limitations of financial statements - Liquidity, profitability and solvency analysis |
On 31 December 20X6 GHI makes a bonus issue of 50,000 shares On this dale the nominal value of the shares is $1 and the market value is $3 GHI has a share premium account with a substantial credit balance. The share capital account is credited correctly in the nominal ledger. Which of the following statements is TRUE?
Correct Answer: A 🗳️
Refer to the exhibit.
Which three of the following would be classified as a revenue reserve?
Correct Answer: D 🗳️
A company has receivables of $60,000, which represents 60 payables days, and payables of $45,000, which represents 45 payables days.
What would be the effect on cash, if receivable days and payables days were reduced to 55 days and 40 days respectively?
Correct Answer: B 🗳️
The role of the internal auditors is primarily to:
Correct Answer: B 🗳️
An organization's cash book has an opening balance in the bank column of $4,850 credit.
The following transactions then took place:
(a) Cash sales of $14,500, including VAT of $1,500.
(b) Receipts from customers of debts of $24,000.
(c) Payments to creditors of debts of $18,000, less 5% cash discount.
(d) Dishonored cheques from customers amounting to $2,500.
The resulting balance in the bank column of the cash book should be:
Correct Answer: B 🗳️
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