Accounting 9706/12 March 2019 | Cambridge AS Level Past Papers With Mark Scheme

1. Accounting concepts and depreciation methods: Materiality, purpose of depreciation, calculation of depreciation expense and profit on asset disposal, and comparison of straight-line and reducing balance methods.
2. Control accounts and ledger accuracy: Identifying errors in sales ledger control accounts, calculating correct balances, and understanding control accounts' purpose in verifying accuracy.
3. Inventory valuation and profit effects: Adjusting for damaged goods in inventory valuation, understanding the impact of undervaluation on gross profit, and calculation of profit including net asset changes and personal transactions.
4. Partnership accounting and capital adjustments: Calculating partner capital interest, distribution of profits in partnerships, and treatment of goodwill upon partner admission.
5. Company financial activities and ratios: Rights issue and capital raised, impact on share capital, calculation of return on capital employed (ROCE), and expenses to revenue ratio adjustments.
6. Costing and break-even analysis: Absorption rate calculation, effect of stepped costs, analysis of variable costs, and changes in margin of safety due to price adjustments.