Acca paper F1 fia diploma in Accounting and Business Accountant in Business (AB/fab) exam kit

175 B 
 
The six capitals are financial, manufactured, intellectual, human, social and relationship, 
and natural capital.
176 D 
Remember that the SOFP shows the assets, liabilities and capital of the company, while the 
SOPL shows the income and expenses (and therefore the profit or loss) of the business in 
the period. 
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ANSWERS TO PRA C TICE O BJECTIVE TEST QUESTIONS :
S EC T I O N 3
K APLA N PUBLISH ING
145 
FINANCIAL SYSTEMS AND PROCEDURES 
177 A 
Reconciliation of the purchase ledger would identify any discrepancies between the 
amounts that P’s business believes it owes suppliers and the amount its suppliers believe it 
owes them. This should identify any incorrect payments that have been made. Matching 
the payment amount to the original invoice and ensuring that the payment is correctly 
authorised could also help. 
178 A 
By matching the GDN to the original order, JBB will be ensuring that it is sending the correct 
items to each customer. 
179 C 
The fourth purpose is prevention of fraud. Control systems may indirectly improve 
profitability through increased efficiency, etc, but it is not one of their primary purposes. 
180 D 
Customer identity and ability to pay should be verified prior to a sale being processed. A, B, 
and C are good control measures, but are not directly relevant to prompt payment. 
181 B 
BACS is an automated bank transfer when the money is sent directly to an employee’s bank 
account, which makes the transaction easy to trace and more secure. 
182 C 
A cheque requisition should be prepared for each payment. The cheque, the cheque 
requisition and the invoices to be paid should be submitted to a senior manager for 
approval and to have the cheque signed. Two signatories are often required for cheques 
above a certain amount. All cheques should be approved, not just large ones. 
183 A 
The usual procedure is for the individual responsible for the petty cash to present the 
receipts and vouchers in order to obtain replenishment. 
However, two people should open the post and list the contents.