Exam prep

Know what's coming

The exam

Final examination / assessment, as stated in the official syllabus. Ask a senior or your exam office for a past paper to confirm the question pattern.

Graded A+ (85-100) to E (0-24) on a 12-step scale; GPA is credit-weighted (5 credits per course unit).

Practice

Until we have a past paper, practise with the topic quizzes and the likely questions below. Write each essay answer by hand, then check it against its frame.

Mixed quiz and flashcards

Likely questions

Written by us from your syllabus, not copied from any exam paper. Tap one to open its sheet.

Short answers

Define accounting.Unit I State the accounting equation and explain its two sides.Unit I What is the business entity concept?Unit I Name the two fundamental qualitative characteristics of financial information.Unit I State the rules of debit and credit for expenses and income.Unit II What is a compound journal entry? Give an example.Unit II What is a suspense account?Unit II What are temporary accounts?Unit II Distinguish the cash basis from the accrual basis.Unit III How is an accrued expense shown in the financial statements?Unit III Define depreciation.Unit III What is an allowance for doubtful debts?Unit III What is prime cost?Unit IV Where is carriage inwards shown in the final accounts?Unit IV Distinguish current liabilities from non-current liabilities.Unit IV Name the three sections of a statement of cash flows.Unit IV What is interest on drawings in a partnership?Unit V Define goodwill.Unit V What is a revaluation account?Unit V State the order of settlement on the dissolution of a partnership.Unit V What is stated capital?Unit VI Distinguish a debenture from a share.Unit VI What is the solvency test under the Companies Act No. 7 of 2007?Unit VI Define the quick (acid test) ratio.Unit VI

Structured questions

Explain the information needs of five users of financial statements.Unit I Show the effect of the given transactions on the accounting equation.Unit I Explain five accounting concepts with examples.Unit I Journalise the following transactions with narrations.Unit II Explain six errors that are not revealed by a trial balance.Unit II Write the closing entries and find the closing capital.Unit II Calculate the expense for the year and the prepayment or accrual for the given items, with adjusting entries.Unit III Compute depreciation for three years by the straight-line and reducing balance methods.Unit III Calculate the bad debts charge and the net receivables from the given data.Unit III Distinguish direct costs from indirect costs with examples from a factory.Unit IV Calculate raw materials consumed, prime cost and the cost of goods manufactured from the given data.Unit IV Prepare a statement of changes in owner's equity from the given data.Unit IV Distinguish fixed capital accounts from fluctuating capital accounts.Unit V Value goodwill by the average profits and super profits methods.Unit V Show the goodwill adjustment on the admission of a partner when goodwill is not kept in the books.Unit V Journalise an issue of shares with oversubscription and issue costs.Unit VI Journalise the redemption of debentures at a premium and by open-market purchase.Unit VI Calculate EPS, the P/E ratio, dividend cover and dividend yield from the given data.Unit VI

Essay questions

Discuss the nature and scope of financial accounting and the importance of ethics for accountants.Unit I Explain the need for accounting standards and describe the qualitative characteristics of useful financial information.Unit I What are accounting policies? Show with an example how the choice of inventory method affects profit.Unit I Journalise the given transactions, post them to the ledger and prepare a trial balance.Unit II Explain the accounting cycle with a neat diagram.Unit II Explain the double-entry system and the books of prime entry used by a trading business.Unit II Why are adjusting entries needed? Explain the types of adjustments with examples.Unit III Explain the causes and methods of depreciation, and show the entries for the disposal of an asset.Unit III From the trial balance and adjustments given, prepare an adjusted trial balance and find the profit.Unit III Prepare the manufacturing account and the income statement of a manufacturer.Unit IV From the trial balance and adjustments, prepare the income statement and the statement of financial position of a sole proprietor.Unit IV Prepare a statement of cash flows using the indirect method from the given data.Unit IV Prepare the appropriation account and the partners' current accounts.Unit V Prepare the revaluation account, the capital accounts and the statement of financial position after admission.Unit V Prepare the realisation account, the capital accounts and the bank account on dissolution.Unit V Prepare the income statement, statement of changes in equity and statement of financial position of a company.Unit VI Calculate and interpret the profitability and efficiency ratios of a company for two years.Unit VI Calculate liquidity, gearing and investor ratios, comment on them, and state the limitations of ratio analysis.Unit VI

Answer frames

How to lay out a long answer, with a write-up check. 26 frames so far.