This document consists of 12 printed pages.
© UCLES 2007
UNIVERSITY OF CAMBRIDGE INTERNATIONAL EXAMINATIONS
General Certificate of Education Ordinary Level
PRINCIPLES OF ACCOUNTS
Paper 1 Multiple Choice
1 hour 15 minutes
Multiple Choice Answer Sheet
Soft clean eraser
Soft pencil (type B or HB is recommended)
READ THESE INSTRUCTIONS FIRST
Write in soft pencil.
Do not use staples, paper clips, highlighters, glue or correction fluid.
Write your name, Centre number and candidate number on the Answer Sheet in the spaces provided
unless this has been done for you.
There are forty 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 separate Answer
Read the instructions on the Answer Sheet very carefully.
Each correct answer will score one mark. A mark will not be deducted for a wrong answer.
Any rough working should be done in this booklet.
Calculators may be used.
© UCLES 2007
1 Which transaction is recorded in the purchases ledger?
cheque paid to a creditor
cheque received from a debtor
D purchase of fixed assets
2 Which document is sent to a buyer when he returns goods to a supplier?
B debit note
Smith returns goods purchased on credit from Jones.
Where will this transaction be entered in Smith’s books?
book of prime entry
Sally buys goods and is allowed a discount for early payment.
How will Sally record this discount?
account to be debited
account to be credited