Changing asset values: past paper questions
Real questions on changing asset values
The newest 20 of 33 written questions. Open one to see it on the real paper.
- 9706/21 · October/November 2025 · Q3a[3]
Calculate the opening inventory at 1 January 2023.
See it on the paper → - 9706/21 · October/November 2025 · Q3c[1]
Calculate the closing inventory at 31 December 2024.
See it on the paper → - 9706/22 · February/March 2025 · Q4c[5]
Complete the following table to show the value of the closing inventory of component X, using AVCO. Inventory valuation $ 1 Jan 48 6 Jan 16 Jan 21 Jan 27 Jan Workings: 9 Jan Additional information D Limited uses marginal costing at another factory where two products, Bee and Cee, are made. The following forecast inform...
See it on the paper → - 9706/22 · October/November 2024 · Q2c(i)[1]
State the formula for the rate of inventory turnover (times).
See it on the paper → - 9706/22 · October/November 2024 · Q2c(ii)[3]
Calculate the value of the closing inventory at 31 August 2024.
See it on the paper → - 9706/31 · October/November 2024 · Q2a(ii)[1]
the carrying value of Machine B (ii)
See it on the paper → - 9706/31 · October/November 2024 · Q2a(iii)[1]
the original cost of Machine B.
See it on the paper → - 9706/23 · May/June 2024 · Q1a[2]
Explain the accounting concept which is applied to the valuation of damaged inventory.
See it on the paper → - 9706/33 · May/June 2024 · Q1b[8]
Prepare the manufacturing account for the year ended 31 December 2023. ,
See it on the paper → - 9706/22 · October/November 2023 · Q2a[2]
State two factors that cause the value of non‑current assets to depreciate.
See it on the paper → - 9706/22 · October/November 2023 · Q2d[3]
Explain why it may be more appropriate to depreciate motor vehicles using the reducing balance method rather than the straight‑line method.
See it on the paper → - 9706/23 · October/November 2023 · Q2b(ii)[3]
Calculate the closing inventory at 31 July 2023.
See it on the paper → - 9706/31 · May/June 2023 · Q3a[2]
Explain why a manufacturing business may provide for unrealised profit.
See it on the paper → - 9706/33 · May/June 2023 · Q3a[2]
Explain why a manufacturing business may provide for unrealised profit.
See it on the paper → - 9706/21 · October/November 2022 · Q2b[2]
State one reason why non-current assets are depreciated, with reference to an appropriate accounting concept.
See it on the paper → - 9706/21 · October/November 2022 · Q2c[2]
Explain one difference between capital expenditure and revenue expenditure.
See it on the paper → - 9706/23 · October/November 2022 · Q1f[2]
State two causes of depreciation of non-current assets.
See it on the paper → - 9706/23 · October/November 2022 · Q1g(i)[2]
a business should make a provision for depreciation of non-current assets Accounting concept Explanation
See it on the paper → - 9706/32 · October/November 2022 · Q3e[3]
Prepare the journal entry to record information item 6 from the list given. A narrative is required. Additional information The value of trade receivables in the draft statement of financial position was $81 900.
See it on the paper → - 9706/33 · October/November 2021 · Q4e[3]
Calculate the amount of the revaluation reserve created during the year ended 31 December 2020.
See it on the paper →
What examiners said
Closing inventory had to be calculated using the AVCO approach. There were very few correct responses. Many candidates seemed to be unfamiliar with how to calculate the closing inventory figures in the stores department using the weighted average (AVCO) method of inventory control.
— Examiner report, February/March 2025, 9706/22 Q4(c) (Cambridge)
Required candidates to state two factors that cause the value of non-current assets to depreciate and the majority of candidates offered two valid factors to gain both of the available marks.
— Examiner report, October/November 2023, 9706/22 Q2(a) (Cambridge)
Candidates were required to explain why the reducing balance method is more appropriate than the straight-line method when depreciating motor vehicles. The task was well answered by many candidates though some simply described the two methods without answering the question. Better candidates related their answer to the matching concept.
— Examiner report, October/November 2023, 9706/22 Q2(d) (Cambridge)
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