Exam (elaborations)
ICAEW ACA Accounting Exam Questions And Correct Answers
- Course
- Institution
ICAEW ACA Accounting Exam Questions And Correct Answers...
[Show more]
Content preview
ICAEW ACA Accounting Exam Questions AndCorrect Answers
Accounts - Answer A method of recording, analyzing and summarizing transactions of
an entity.
Statement of Profit or Loss - Answer It reflects the performance of a business over a
period of time.
Statement of Financial Position - Answer It reflects the position of a business at a point
in time.
Users of Accounting - Answer Any organization / business / individual who needs to
keep track of their income, expenses, assets, and liabilities.
Types of Business Entity - Answer • Sole trader
• Partnership
• Limited Liability Companies
SOFP - Answer A list of assets and liabilities of the business.
SPL - Answer The revenue and expense of a business for the accounting period.
Purpose of SOFP - Answer To show the total value of the net assets of the business at
the end of a period.
Purpose of SPL - Answer To show the amount of profit and loss that the business has
made during that period.
, Stakeholders for financial information - Answer • Managers/Directors
• Owners of the company
• Trade contracts
• Finance providers
•HMRC
Capital Expenditure - Answer Expenditure which results in the acquisition of non-current
assets or an improvement or enhancement of their earning capacity (>1yr) (NCA)
Revenue Expenditure - Answer Expenditure which is incurred either for trade
purposes-e.g. items for resale-or to maintain the existing earning capacity of
non-current assets-e.g repairing
Code of Ethics (IFAC) - Answer • Professional Behaviour
• Objectivity
• Professional Competence & due care
• Confidentiality
• Integrity
Business entity concept - Answer A business is a separate entity from its owner.
Capital - Answer How much the business owes back to the owner.
Formula for year-end capital - Answer Bal. at start of year + net profit + capital injection -
drawings
Share capital formula - Answer = Bal. at start of year + Further investment in shares by
new stakeholders
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller Easton. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $9.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
80364 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now