Accounting 9706/33 May June 2018 | Cambridge AS Level Past Papers With Mark Scheme

1. Manufacturing account and income statement preparation: Calculation of manufacturing account including prime cost, work in progress, factory overheads, and unrealised profit. Preparation of income statement with cost of sales, distribution costs, and finance charges.
2. Equity changes and shareholder analysis: Preparation of the statement of changes in equity, assessment of share issues, dividends, and general reserve transfers. Evaluation of the financial impact of alternative financing methods on shareholder value.
3. Adjustments for audit findings: Correct accounting treatment for human assets, inventory valuation, and software licence. Calculation of revised profit, and evaluation of purchase vs. lease options for computer software.
4. Non-profit club financial management: Preparation of income and expenditure account, statement of financial position, and advice on pricing strategies for club activities based on financial outcomes.
5. Budgeting and inventory management: Production budget preparation, calculation of raw material purchases, analysis of storage cost impact on inventory levels, and financial implications of director-funded investment in warehouse capacity.
6. Activity-based costing and pricing: Calculation of production costs, selling price, and overhead allocation using activity-based costing. Analysis of product pricing strategies and impact on profitability, with recommendations for adjusting profit margins in response to market conditions.