2012 GCE N Levels Principles of Accounts (POA) Suggested Solutions!

Suggested Solution

It’s 8 days since your last paper.

Hope you guys are having a great time with your holidays!

This year’s suggested solutions came in a little late as the O’ levelers are ramping up their revision. 😉

Anyhow, it’s here now!

Tell me what you think.

Right click and choose “Save As” to download:

Paper 1 7092/02 GCE N’ Level Principles of Accounts 2012 Paper 1 Suggested Solutions

Paper 2: 7092/02 GCE N’ Level Principles of Accounts 2012 Paper 2 Suggested Solutions

Thanks guys!

Caleb

  • Jaydentang

    hi teacher, do u have the question. i forgot the questions already.

  • Navin rai

    Hey just one request Mr Caleb, can u upload the question paper for Paper 1? Kinda forget the questions. Thanks!

  • calebho

    Hi Navin,

    Thanks for the query! 
    Question papers cannot be uploaded due to copyright reasons. 

    I may be arrested and never to be able to upload anything in future. 😉

    Caleb

  • calebho

    Hi Jaydentang!

    I can’t upload the qns. Copyright issues!Thanks for popping by! Hope you did well!CalebEdit
    Reply

  • Riley Hale

    Hello , just to clarify isn’t purchasing a sign of the new restaurant a revenue expenditure because it’s like for advertising and also if it were to add value to the property wouldn’t the people who were to buy over the property replace the sign with it’s own

  • calebho

    Your arguments are sound and I agree to some extend with you. 🙂 
    We don’t have the Cambridge mark scheme, so your answer may be right too!
    The bad thing is the question didn’t mention the value of the sign (if it’s insignificant, using materiality concept will satisfy it as revenue expenditure too). It also doesn’t mention what is the sign for (although by inference I think a reasonable thought is that it is a signboard for the restaurant). Otherwise, my reasoning behind labelling it as capital expenditure is that the sign will benefit the business for more than 1 accounting period. Your thoughts about the next buyer having the property replacing the sign can apply to other assets as well (e.g if a spa takes over the location, it will have no need for the restaurant’s kitchen equipment) – so I differ my thoughts on that.To be a little daring I’ll say  – this question is also not clearly set. First, the question asked what type of expenditure “PURCHASE” of a new restaurant is. Then, in part (c) it says Shakeel PAYS RENT on the restaurant. So what did Shakeel really buy of the restaurant? The premises, the equipment and fixtures and fittings or all the above? *shrugs*For completeness on our discussion on the “sign” (assuming we understand each other as “signboard” rather than a toilet sign), you might be keen to know that the Singapore’s tax authorities neither recognise it as capital or revenue expenditure. It’s under Disallowable Expenses.Source: http://www.iras.gov.sg/irasHome/uploadedFiles/Businesses/For_sole-proprietors_self-employed/Before_filing/Starter%20Guide%20for%20the%20Self-Employed_English.pdf (see page 12 or search “signboard in pdf)Keep the comments coming. I love thoughtful comments like this!

  • Navin rai

    For Qn1 in paper 1, if my cash book balance is wrong, will I get ECF marks for using that balance in the bank recon? If so, how many marks?

  • Navin

    Hmmm. It’s quite long already and still no reply o.o”’