ACCA exam practice questions-Business transaction and documentation

These questions are from the chapter on business transactions and documentation, these are taken as Acca exam practice questions. These ACCA practice questions will help you to clear the basic concepts about the exam question structure. So let’s begin to practice. So let’s begin to practice.

Questions

1. Which of the following comprises small cash transactions?

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 organization?

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

4. Which of the 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 identify goods received
3. To advise remittance received
4. For notification of goods dispatched.

6. What is the purpose of the 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 is owed from the customer.

1. 1, 2, and 3 only.
2. All
3. 2 and 3 only
4. 1 and 2 only.

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 received 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.

11. What is meant by an event in the business?

1. Event is the other name of transaction which means exchanging of values
2. An event means buying something
3. Event means having a party in the business

Answers

1. (2)
2. (3)
3. (1)
4. (2)
5. (1)
6. (1)
7. (2)
8. (3)
9. (2)
10. (3)
11. (1)

FAQS

Is choosing a career as an accountant a good choice?

Choosing a career as an accountant is a great opportunity for being successful in life.

Can you find a job with ACCA qualifications?

It is very easy to find a job once you are done with your ACCA journey, it is one of the most valuable qualifications as it is the international certificate that can help you to find different jobs around the globe.

How long does it take to complete the ACCA?

It depends on the 17 papers that are stairs to completing ACCA, it can be done in 3 or 4 years.

Who should do ACCA?

Anyone with an interest in the business field can do the ACCA. Some of the main issues that you should consider are,

The first and very big issue is to manage the finance as it is one of the very expensive fields of business, the paper fees are quite too expensive and if any fails in the attempts, he has to give another attempt and submit the fees for the second time.

Annual registration is another burden on a student because until you complete the ACCA, you have to keep your student account active by giving registration fees every year.

People usually drop their journey in mid of the way because of money and time management. Except for the money, time is also a very important factor in the ACCA journey. If you want to complete the ACCA, you must have to manage your time and focus on your study.