UNIVERSITY OF CAMBRIDGE INTERNATIONAL EXAMINATIONS
General Certificate of Education
Advanced Subsidiary Level and Advanced Level
Paper 1 Multiple Choice
Additional Materials: 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 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 separate Answer Sheet.
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.
This document consists of 10 printed pages and 2 blank pages.
© UCLES 2006
1 Which item should be treated as capital expenditure?
the cost of a printer for an existing computer system
repair costs to a car which are not covered by insurance
rent paid on a factory, whilst the company negotiated the purchase of the factory
the replacement of a wooden fence with a new fence
The accounting year end of a business is 31 October.
On 1 April the business rents out part of its warehouse for an annual rent of $6000 receivable in
equal instalments on 1 April, 1 July, 1 October and 1 January.
At 31 October what would the final accounts show?
Profit and Loss Account