Accounting 9706/11 May June 2010 | Cambridge AS Level Past Papers With Mark Scheme

1. Depreciation and asset management: Calculation of depreciation using the diminishing value method, effect of incorrect capital expenditure treatment on assets and profit.
2. Control accounts and error corrections: Adjustments for purchases ledger, transposition errors affecting suspense accounts, and corrections in trial balance.
3. Partnership profit sharing and capital structure: Calculation of partner's profit share, adjustments for salary and interest on capital, and recording rights and bonus issues in share premium accounts.
4. Financial ratios and inventory management: Calculation of current and quick ratios, trade receivables turnover, and determination of gross profit based on inventory turnover and markup.
5. Costing methods and budgeting: Batch costing for production, determination of fixed and variable costs, calculation of total cost for varying production levels, and comparison of products based on sales and cost graphs.
6. Labour cost and production analysis: Calculation of daily labour cost for machinists and supervisors, and interpretation of break-even and variable cost information from sales and cost graphs.