| Exam Name: | Fundamentals of financial accounting | ||
| Exam Code: | BA3 Dumps | ||
| Vendor: | CIMA | Certification: | CIMA Certificate |
| Questions: | 393 Q&A's | Shared By: | claire |
Different users have different needs from financial information. One of which is to assess how effectively management is performing and how much profit will be available to be distributed.
Which of the following users will have this need for information?
The draft accounts of KenDoo Ltd for the year ended 31 August 2006 showed a net profit of $10000.
During the audit, the following errors and omissions were discovered.
(a) Items valued at $3100 had been completely omitted from the closing stock figure.
(b) Accrual of electricity bill for $200 and insurance prepayment of $500 had been omitted.
(c) Equipment costing $12000, acquired on 1 September 2005, had been debited to the purchases acccount. (KenDoo Ltd depreciates equipment at 15% on the straight line basis).
Due to materiality, the directors of KenDoo Ltd agreed to adjust the accounts accordingly.
Incorporating the above adjustments, the revised net profit is
Refer to the exhibit.
Both internal and external audits can be performed on the financial statements of a company. The results of the audits have different purposes and different reporting lines.
Which of the following combinations is correct?
Refer to the Exhibit.
An extract of information from K's book of accounts revealed that:
Cash received during the year is
TESTED 20 Nov 2025
