The following extract is taken from a draft version of company’s statement of ca-新东方在线职业题库

新东方在线题库 > ACCA英国注册会计师试题 > F3 > Chapter20-23 > The follow...

The following extract is taken from a draft version of company’s statement of cash flows, prepared by a trainee accountant.

$000

Net cash flow from operating activities Profit before tax Depreciation charges 484

Profit on sale of property, plant and equipment 327

Increase in inventories 35

Decrease in trade and other receivables (74)

Increase in trade payables (41)

Cash generated from operations 29

760

Four possible mistakes that may have been made by the trainee accountant are listed below.

1 The profit on sale of property, plant and equipment should be subtracted, not added.

2 The increase in inventories should be added, not subtracted.

3 The decrease in trade and other receivables should be added, not subtracted.

4 The increase in trade payables should be subtracted, not added.

Which of the four mistakes did the trainee accountant make when preparing the draft statement?

A

1 and 2 only

B

1 and 3 only

C

2 and 4 only

D

3 and4 only

Chapter22Statementsofcashflows

The corrected extract is as follows:

$!000

Net cash flow from operating activities Profit before tax 484

Depreciation charges 327

Profit on sale of property, plant and equipment (35)

Increase in inventories (74)

Decrease in trade and other receivables 41

Increase in trade payables 29

Cash generated from operations 772

多做几道

Which of the following is a ratio which is used to measure how much a business owes in relation to its size?

A

Asset turnover

B

Profit margin

C

Gearing

D

Return on capital employed

A business operates on a gross profit margin of 331/3%. were $680. Gross profit on a sale was $800, and expenses

What is the net profit margin?

A

3.75%

B

5%

C

11.25%

D

22.67%

A company has the following details extracted from its statement of financial position：

$'000

Inventories 1,900

Receivables 1,000

Bank overdraft 100

Payables 1,000

The industry the company operates in has a current ratio norm of 1.8. Companies who manage liquidity well in this industry

have a current ratio lower than the norm.

Which of the following statements accurately describes the company’s liquidity position?

A

Liquidity appears to be well managed as the bank overdraft is relatively low

B

Liquidity appears to be poorly-controlled as shown by the large payables balance

C

Liquidity appears to be poorly-controlled as shown by the company’s relatively high current ratio

D

Liquidity appears to be poorly-controlled as shown by the existence of a bank

Why is analysis of financial statements carried out?

A

So that the analyst can determine a company’s accounting policies

B

So that the significance of financial statements can be better understood through comparisons

with historical performance and with other companies

C

To get back to the ‘real’ underlying figures, without the numbers being skewed by the

requirements of International Financial Reporting Standards

D

To produce a report that can replace the financial statements, so that the financial statements

no longer need to be looked at

Which of the following transactions would result in an increase in capital employed?

A

Selling inventory at a profit

B

Writing off a bad debt

C

Paying a payable in cash

D

Increasing the bank overdraft to purchase a non-current asset

最新试题

该科目易错题

该题目相似题

Which of the following accounting concepts means that similar items should receive a similar accounting treatment?AGoing concern BAccrualsCMatchingDConsistency
How is the total of the purchases day book posted to the nominal ledger?ADebit purchases, Credit cash BDebit payables control, Credit purchasesC Debit cash, Credit purchasesDDebit purchases, Credit payables control
Smith Co has the following transactions:1 Purchase of goods on credit from T Rader: $4502 Return of goods purchased on credit last month to T Rouble: $700What are the correct ledger entries to ?ADr Purchases $450 Dr Purchase Returns $700 Cr Cash $450 Cr Trade Payables $700BDr Purchases $450 Dr Trade Payables $700 Cr Purchase Returns $1,150 CDr Purchases $450 Dr Trade Payables $250 Cr Purchase Returns $700DDr Purchase Returns $700 Dr Purchases $450 Cr Trade Payables $1,150
William's trial balance at 30 September 20X5 includes the following balances：Trade receivables $75,943 Receivables allowance $4,751How should these balances be reported in William's statement of financial position as at 30 September 20X5?AAn asset of $71,192BAn asset of $75,943 and a liability of $4,751CA liability of $71,192DA liability of $75,943 and an asset of $4,751
A company's policy is to charge depreciation on plant and machinery at 20% per year on cost, with proportional depreciation for items purchased or sold during a year.The company's plant and machinery at cost account for the year ended 30 September 20X3 is shown below.PLANT AND MACHINERY - COST20X2 $ 20X3 $1 Oct 20X3 Balance 200,000 30 Jun Transfer disposal account 30Sep Balance 40,000 210,0001 Apr Cash-purchase of plant 50,000 250,000 250,000What should be the depreciation charge for plant and machinery (excluding any profit or loss on the disposal) for the year ended 30 September 20X3?A$43,000B$51,000C$42,000D $45,000
W bought a new printing machine. The cost of the machine was $80,000. The installation costs were $5,000 and the employees received training on how to use the machine, at a cost of $2,000. Before using the machine to print customers' orders, a test was undertaken and the paper and ink cost $1,000.What should be the cost of the machine in the company's statement of financial position?A$80,000B $85,000C$86,000D$88,000
Which of the following should be included in the reconciliation of the carrying amount of tangible non- current assets at the beginning and end of the accounting period? 1 Additions2Disposals3 Depreciation 4 Increases/decreases from revaluations A1 and 3 onlyB1, 2, and 3 onlyC1,3 and 4 D1,2, 3 and 4
Which one of the following costs would be classified as revenue expenditure on the invoice for a new company car? ARoad tax BNumber platesCFitted stereo radioDDelivery costs
A company has sublet part of its offices and in the year ended 30 November 20X3 the rent receivable was:Until 30 June 20X3 $8,400 per yearFrom 1 July 20X3 $12,000 per yearRent was paid quarterly in advance on 1 January, April, July, and October each year.What amounts should appear in the company's financial statements for the year ended 30 ? NovemberRent receivable Statement of financial positionA$9,900 $2,000 in sundry payablesB$9,900 $1,000 in sundry payablesC$10,200 $1,000 in sundry payablesD$9,900 $2,000 in sundry receivables
Which of the following statements is/are incorrect?1 A Co owns 25% of the ordinary share capital of B Co, which means that B Co is an associate of A Co.2 C Co can appoint 4 out of 6 directors to the board of D Co, which means that C Co has control over D Co.3 E Co has the power to govern the financial and operating policies of F Co, which means that F Co is an associate of E Co.4 G Co owns 19% of the share capital of H Co, but by agreement with the majority shareholder, has control over the financial and operating policies of H Co, so H Co is an associate of G Co.A1 and 2 onlyB1, 2 and 3 onlyC3 and 4 onlyD4 only