Accounting 9706,22 Oct Nov 2024 | Cambridge AS - A Level Past Papers With Mark Scheme

1. Financial Statements Preparation | Preparation of the statement of profit or loss, including revenue, cost of sales, expenses, and depreciation adjustments.

2. Accounting Concepts & Adjustments | Explanation of accounting concepts applied to adjustments for goods taken for personal use, irrecoverable debts, and prepaid motor insurance.

3. Financing Decisions & Business Growth | Evaluation of two financing options: bank loan vs. partnership investment, considering financial and non-financial factors.

4. Financial Ratios & Performance Analysis | Calculation and interpretation of trade receivables turnover, return on capital employed (ROCE), gross profit margin vs. markup, and inventory turnover.

5. Accounting Errors & Profit Adjustments | Impact of closing inventory overstatement, returns outwards misclassification, and advertising prepayment on the final profit figure.

6. Equity & Share Capital Transactions | Calculation of ordinary share capital changes due to dividends, bonus issues, and rights issues, and preparation of the statement of changes in equity.

7. Cost-Volume-Profit (CVP) Analysis | Calculation of contribution per unit, fixed overheads, margin of safety, and revised marginal cost statement to assess profitability under different scenarios.

8. Decision Making in Costing & Pricing | Advising on business expansion plans based on cost, pricing, and operational efficiency, including marginal vs. absorption costing advantages.