Accounting Exam Tips

Choose 5 questions to do only.

1: Trading, Profit & Loss and Balance Sheet

(Unit 3 - Trading, Profit & Loss, Example/Format on Page 3-14 & 3-15)

(Unit 4 - Balance Sheet, Example/Format on Page 4-6 & 4-7)

2: Pure Theory Question

(Unit 2 - 2.2, 2.3 & 2.4)

2.2 (Page 2-2) Different Sources of Finance:-

3.0 (Page 2-3) Types of Long Term Debt Financing

(i) Hire-purchasing financing
(ii) Lease financing
(a) Financial lease
(b) Operating lease
(iii) Term Loans
(iv) Bond and Debenture issues
(v) Preference shares
(vi) Ordinary shares

4.0 (Page 2-4) Internal and External Financing

(i) Internal Financing
(ii) External Financing

3: Identify Capital and Expenditure
(Unit 3, Page 3-13)

4: Financial Ratio
(Unit 5, Page 5-2 to 5-8)

(i) Profitability Ratios
(a) Gross Profit Margin
(b) Net Profit Margin
(c) Rate of return on investment
(d) Rate of return on assets

(ii) Liquidity Ratios
(a) Current Ratio
(b) Quick Ratio/Acid Test Ratio

(iii) Efficiency Ratios
(a) Stocks Turnover
(b) Debtors Turnover
(c) Creditors Turnover
(d) Fixed Assets Turnover

(iv) Gearing Ratios
(a) Debt to Total Asset Ratio
(b) Capital Employed to Total Indebtedness
(c) Interest Cover Ratio
(d) Capital Gearing Ratio

(v) Investment Ratios
(a) Earnings per share
(b) Price Earnings Ratio
(c) Dividends Per Share
(d) Dividends Payout Ratio

* 4 marks on comments.

5: Depreciation, Straight line & Reducing Balance
(Unit 4, Page 4-3)

6: Marginal Costing
(Unit 10, Page 10-1 to 10-14)


7 & 8: Determine whether to drop a product. Profitable or Non-Profitable.
(Unit 9 and Unit 10)

Jiayou!!

-Yvonne