ACCA Exam Practice

ACCA exam practice questions-Business transaction and documentation

These question are from the chapter business transaction and documentation, these are taken as acca exam practice questions. In this article you will practice for FA1 exam.

So let’s begin to practice.

Questions

  1. Which of the following comprises small cash transaction?
  1. Payment to service providers
  2. Petty cash
  3. Purchase of inventory
  4. Receipt from sales.

2. What is the purpose of credit notes?

  1. It shows a purchase on credit.
  2. It is used when a deposit is paid on goods.
  3. It is used to cancel all or part of a sales invoice.

3. Which of the following transactions is likely to occur on a daily basis in a large business organisation?

  1. Credit sales
  2. Payroll
  3. purchase of equipment
  4. Payment of supplies

4. Which of rhe following is not an internal document for purchase?

  1. Supplier list
  2. Delivery note
  3. Goods received notes
  4. Purchase order

5. What is remittance advice for?

  1. To indicate that item which is paid
  2. To indenfy goods received
  3. To advise remittance received
  4. For notification of goods dispatched.

6. What is the purpose of purchase invoice?

  1. To claim back the sales tax
  2. To identify the goods bought
  3. To record how much is owed to the supplier
  4. To record how much owed from the customer.
  1. 1, 2 and 3 only.
  2. All
  3. 2 and 3 only
  4. 1 and 2 onky.

7. In the purchasing process, which document will usually follow the goods received notes?

  1. Delivery note
  2. Invoice
  3. Statement
  4. Advice note

8. What is the prime document used to record small transactions in the Petty cash books?

  1. An invoice
  2. A till receipt
  3. A Petty cash voucher

9. Which of the following is a source document for financial transactions?

  1. Statement
  2. Paying slip
  3. Purchase order
  4. Goods recieved note

10. How will a sales invoice from a supplier be regarded by the customer?

  1. As a credit note
  2. As a debit note
  3. Purchase invoice
  4. Or as a receipt.

Answers

  1. (2)
  2. (3)
  3. (1)
  4. (2)
  5. (1)
  6. (1)
  7. (2)
  8. (3)
  9. (2)
  10. (3)

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If you want to pass ACCA exam then must try ACCA exam practice questions.

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