Acca financial Accounting (FA) Study Text ac ca (FA)

How much share capital was issued during the year? 

$________ 

86 

If Harry’s mark-up on cost of sales is 15%, what is his gross profit 

margin?

 

A 12.5% 

B 13.04% 

C 15% 

D 17.65% 

87  An entity had opening net assets of $10,000 and closing net assets of 

$4,500. During the period the entity issued $4,000 new share capital and 

paid dividends of $8,000. 

What was the he profit or loss for the accounting period? 

A $9,500 

loss 

B $1,500 

loss 

C $7,500 

profit 

D $17,500 

profit 

88 

From the following information, calculate the cost of purchases made 

during the accounting period: 

 $ 

Opening payables 

142,600 

Cash paid 

542,300 

Discounts received 

13,200 

Goods returned 

27,500 

Closing payables 

137,800 

$________ 

 

 

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Chapter 23 

KAPLAN PUBLISHING

 

489 

89  Carol owns a shop. The only information available for the year ended 

31 December 2005 is as follows: 

Inventory at 1 January 2005 

$3,500 

Inventory at 31 December 2005 

$1,350 

Sales $17,000 

Gross profit margin 

25%