9706_w23_qp_13

Cambridge International AS & A Level ACCOUNTING 9706/13 Paper 1 Multiple Choice October/November 2023 1 hour You must answer on the multiple choice answer sheet. *1750252593* You will need: Multiple choice answer sheet Soft clean eraser Soft pencil (type B or HB is recommended) INSTRUCTIONS • There are thirty questions on this paper. Answer all questions. • For each question there are four possible answers A , B , C and D . Choose the one you consider correct and record your choice in soft pencil on the multiple choice answer sheet. • Follow the instructions on the multiple choice answer sheet. • Write in soft pencil. • Write your name, centre number and candidate number on the multiple choice answer sheet in the spaces provided unless this has been done for you. • Do not use correction fluid. • Do not write on any bar codes. • You may use a calculator. INFORMATION • The total mark for this paper is 30. • Each correct answer will score one mark. • Any rough working should be done on this question paper. This document has 12 pages. Any blank pages are indicated. IB23 11_9706_13/3RP © UCLES 2023 [Turn over

Cambridge International AS & A Level ACCOUNTING 9706/13 Paper 1 Multiple Choice October/November 2023 1 hour *1750252593* You must answer on the multiple choice answer sheet. You will need: Multiple choice answer sheet Soft clean eraser Soft pencil (type B or HB is recommended) INSTRUCTIONS • There are thirty questions on this paper. Answer all questions. • For each question there are four possible answers A , B , C and D . Choose the one you consider correct and record your choice in soft pencil on the multiple choice answer sheet. • Follow the instructions on the multiple choice answer sheet. • Write in soft pencil. • Write your name, centre number and candidate number on the multiple choice answer sheet in the spaces provided unless this has been done for you. • Do not use correction fluid. • Do not write on any bar codes. • You may use a calculator. INFORMATION • The total mark for this paper is 30. • Each correct answer will score one mark. • Any rough working should be done on this question paper. This document has 12 pages. Any blank pages are indicated. IB23 11_9706_13/3RP © UCLES 2023 [Turn over

2 1 Inventories are valued at the lower of cost and net realisable value in the statement of financial position. Which accounting concept is being applied? A duality B historic cost C matching D prudence 2 Which statements describe ways in which the security of data can be ensured within a computerised accounting system? 1 avoiding the use of updates from the accounting software provider 2 frequent backing-up of all work entered into the accounting system 3 making sure that anti-virus protection is put in place 4 using a single password to allow access to the entire accounting system A 1 and 2 B 1 and 4 C 2 and 3 D 3 and 4 3 On 1 January, Ann owed Sam $400. She paid the amount due on 6 January after deducting a 2% cash discount. How did Ann record this? account debited $ account credited $ A bank 392 Sam 400 discount allowed 8 B bank 392 Sam 400 discount received 8 C Sam 400 bank 392 discount allowed 8 D Sam 400 bank 392 discount received 8 © UCLES 2023 9706/13/O/N/23

2 1 Inventories are valued at the lower of cost and net realisable value in the statement of financial position. Which accounting concept is being applied? A duality B historic cost C matching D prudence 2 Which statements describe ways in which the security of data can be ensured within a computerised accounting system? 1 avoiding the use of updates from the accounting software provider 2 frequent backing-up of all work entered into the accounting system 3 making sure that anti-virus protection is put in place 4 using a single password to allow access to the entire accounting system A 1 and 2 B 1 and 4 C 2 and 3 D 3 and 4 3 On 1 January, Ann owed Sam $400. She paid the amount due on 6 January after deducting a 2% cash discount. How did Ann record this? account debited $ account credited $ A bank 392 Sam 400 discount allowed 8 B bank 392 Sam 400 discount received 8 C Sam 400 bank 392 discount allowed 8 D Sam 400 bank 392 discount received 8 © UCLES 2023 9706/13/O/N/23

3 4 An improvement to business premises has been incorrectly treated as an expense in the financial statements. What is the effect on the financial statements after this error has been corrected? assets profit for the year A decreased decreased B decreased increased C increased decreased D increased increased 5 A business incurs the following business expenditure during the year. $ purchase of a machine 9 700 3-year maintenance for the machine 10 000 replacing the wheels of a motor car 8 500 upgrading the hardware of a computer 5 600 What are the total costs to be included in the non-current assets account during the year? A $15 300 B $15 600 C $23 800 D $25 300 6 What is a reason for providing for depreciation of non-current assets? A to ensure non-current assets are replaced when they are worn out B to match the cost to the revenue earned each year by the non-current assets C to provide funds for purchasing replacement non-current assets D to show the amount they would realise if non-current assets were sold 7 A business uses the straight-line method of depreciation. A machine which it has owned for three years has a carrying value of $13 000 at the end of the third year. When purchased, it was estimated that it had a life of five years and a residual value of $5000. What was the original cost of the machine? A $18 000 B $20 000 C $25 000 D $32 500 [Turn over © UCLES 2023 9706/13/O/N/23

3 4 An improvement to business premises has been incorrectly treated as an expense in the financial statements. What is the effect on the financial statements after this error has been corrected? assets profit for the year A decreased decreased B decreased increased C increased decreased D increased increased 5 A business incurs the following business expenditure during the year. $ purchase of a machine 9 700 3-year maintenance for the machine 10 000 replacing the wheels of a motor car 8 500 upgrading the hardware of a computer 5 600 What are the total costs to be included in the non-current assets account during the year? A $15 300 B $15 600 C $23 800 D $25 300 6 What is a reason for providing for depreciation of non-current assets? A to ensure non-current assets are replaced when they are worn out B to match the cost to the revenue earned each year by the non-current assets C to provide funds for purchasing replacement non-current assets D to show the amount they would realise if non-current assets were sold 7 A business uses the straight-line method of depreciation. A machine which it has owned for three years has a carrying value of $13 000 at the end of the third year. When purchased, it was estimated that it had a life of five years and a residual value of $5000. What was the original cost of the machine? A $18 000 B $20 000 C $25 000 D $32 500 © UCLES 2023 9706/13/O/N/23 [Turn over