IGCSE Accounting: Business documents and books of prime entry (Cambridge 0452) – Practice Questions

Syllabus edition note. This resource follows the Cambridge IGCSE Accounting 0452 syllabus (and Cambridge O Level Accounting 7707, which has the same subject content for the same series) for exams in 2027, 2028 and 2029 (version 1), first examined in the March 2027 series in India and the June 2027 series elsewhere. If you sit 0452 in November 2026, you sit the 2026 syllabus (version 2), which differs: Paper 1 has 35 multiple-choice marks in 1 hour 15 minutes, not 40 marks in 1 hour 30 minutes; Topic 7 is “Accounting principles and policies”, without 7.2 Ethical considerations or 7.3 Technology and sustainability; 4.4 is “Irrecoverable debts and provision for doubtful debts”; income statements are named instead of statements of profit or loss; three-column running balance accounts are not required; Clubs and societies is 5.4 and Manufacturing accounts 5.5; and 6.3 is “Inter-firm comparison”. For this topic, the 2026 syllabus also asks candidates to complete pro-forma business documents and to explain the advantage of using books of prime entry, and it does not include digital ledger accounts or the benefits and limitations of keeping cash at the business property and of manual and digital original entry. If you sit in November 2026, work from the 2026 syllabus on the Cambridge International website.

These are original questions written for Marlbridge, for revision and practice on this content. They are not reproduced past-paper questions, and they do not replicate the exam’s exact structure, question count or mark tariffs – examination boards hold copyright in their own papers. Use these alongside the official past papers from your board or school.

These questions cover sections 2.2 Business documents and 2.3 Books of prime entry of the Cambridge IGCSE Accounting 0452 syllabus (version 1), valid for examination in 2027, 2028 and 2029. The subject is not tiered, so every question applies to all candidates. Learn the content first from the study guide and revision notes. Course pages: 0452 hub, printable checklist. Every business and figure here is made up; amounts are in dollars.

Questions

1. Name the business document described in each case.

(a) Sent by a bank, listing all deposits, withdrawals and charges. [1] (b) Sent by a seller to reduce the amount a customer owes after goods are returned. [1] (c) Kept in the cheque book by the person who wrote the cheque. [1] (d) Given to a customer to confirm that a payment has been received. [1]

2. Rosewell Stationery sells 50 reams of paper at a list price of 6.40 each to Garrowby School. Trade discount is 15%. A cash discount of 2% is allowed if the invoice is paid within 10 days. Calculate (a) the invoice total [3] and (b) the amount payable if Garrowby pays in 8 days. [1]

3. State the book of prime entry in which each item is first recorded. [5]

• Goods bought on credit for resale, supplier’s invoice received.
• A cheque received from a customer.
• A credit note issued to a customer.
• A printer bought on credit for office use.
• Stamps bought from the office float.

4. Rosewell Stationery’s credit sales in October: 4 Oct, Garrowby School, list price 380, trade discount 10%; 11 Oct, Dovecote Cafe, list price 150, trade discount 20%; 19 Oct, Nutley Traders, list price 500, trade discount 25%.

(a) Prepare the sales journal, showing the total. [3] (b) State the two postings that arise from the Dovecote Cafe invoice and the journal total. [2]

5. Fallowfield Garage keeps a cash book. On 1 October the cash balance was 90 and the bank balance was 940. During the month: 2 Oct, cash sales 45; 5 Oct, a customer paid by cheque 230 in settlement of 240 owed; 9 Oct, a supplier was paid 380 by bank transfer in settlement of 400 owed; 12 Oct, 70 cash was paid into the bank; 15 Oct, wages of 35 were paid in cash. Enter these items in the cash book (cash, bank and discount columns) and balance it at 31 October. [6]

6. A petty cashier works with an imprest float of 100. During the month vouchers were: postage 14.20, travel 18.50, cleaning 9.75, postage 7.30, refreshments 6.40.

(a) Calculate the total spent and the cash that should remain. [2] (b) State the amount needed to restore the float. [1] (c) Explain the purpose of the imprest system. [2]

7. Stanbridge Ltd buys display cabinets for 2,400 on credit from Cullen & Co.

(a) Prepare the general journal entry, including a narrative. [3] (b) Explain why the purchases journal is not used. [1]

8. A bank statement received by Prescot Toys shows: a charge of 18.50; a direct credit of 640.00 from a customer, Sedgwick Florists; and a direct debit of 95.00 for insurance. None is in the cash book. State on which side of the cash book each is entered and the other account involved. [4]

9. Sedgwick Florists receives a statement from a supplier. It shows an opening balance of 520, an invoice for 280, a credit note for 60 and a payment received of 400.

(a) Calculate the closing balance on the statement. [2] (b) Explain how Sedgwick uses the statement as a source of information. [2]

10. A market trader keeps cash in a tin and handwrites all records.

(a) Give one advantage and one drawback of holding cash in a tin at the stall. [2] (b) The trader considers accounting software. Give two benefits and two limitations of digital methods for original entry. [4]

11. Stanbridge Ltd buys goods from Elmsworth Parts with a list price of 600 and trade discount of 15%. It later returns goods worth 80 (after trade discount). It pays the balance by bank transfer, earning a 2.5% cash discount.

(a) Prepare Elmsworth Parts’ account in Stanbridge’s purchases ledger, showing the balance. [5] (b) State the book of prime entry for each of the three entries in the account. [3] (c) Explain why the trade discount does not appear in the account. [1]

Answers

1. (a) Bank statement [1] (b) Credit note [1] (c) Cheque counterfoil [1] (d) Receipt [1] Examiner insight: Learn the issuer as well as the name; a description such as “sent by a bank” points to one document only.

2. (a) Gross 50 x 6.40 = 320.00 [1]. Trade discount 15% = 48.00 [1]. Invoice total 272.00 [1]. (b) 2% of 272.00 = 5.44, so payable 266.56 [1]. Examiner insight: Cash discount is worked out on the figure after trade discount; starting from the list price gives a different answer.

3. Purchases journal [1]; cash book [1]; sales returns journal [1]; general journal [1]; petty cash book [1]. Examiner insight: A printer is a non-current asset, not goods for resale, which is why a purchases journal answer is a common trap.

4. (a)

Date	Customer	List	Trade discount	Net
4 Oct	Garrowby School	380	38	342
11 Oct	Dovecote Cafe	150	30	120
19 Oct	Nutley Traders	500	125	375
	Total			837

Net figures correct [1]; trade discount shown correctly [1]; total 837 [1]. (b) Debit Dovecote Cafe 120 in the sales ledger [1]; credit sales 837 in the nominal ledger [1]. Examiner insight: Show the journal with a clear heading and a total; the posting answer needs both an account and a side.

5.

Details	Disc	Cash	Bank	Details	Disc	Cash	Bank
Balances b/d		90	940	Bank (contra)		70
Sales		45		Wages		35
Customer	10		230	Supplier	20		380
Cash (contra)			70	Balances c/d		30	860
Totals	10	135	1,240	Totals	20	135	1,240

Opening balances and sales entered [1]; customer cheque 230 with discount allowed 10 [1]; supplier payment 380 with discount received 20 [1]; contra on both sides [1]; closing cash 30 [1]; closing bank 860 [1]. Examiner insight: Discount goes in the discount column, not in the bank figure; the cash book is easier to mark if the totals visibly agree.

6. (a) Total 14.20 + 18.50 + 9.75 + 7.30 + 6.40 = 56.15 [1]; cash remaining 100 - 56.15 = 43.85 [1]. (b) 56.15 [1]. (c) To control small payments [1] by restoring a fixed float each period, so all spending is checked against vouchers [1]. Examiner insight: Restore the amount spent, not the amount left; saying why it is controlled gains more than naming the system.

7. (a) Debit Display cabinets 2,400 [1]; credit Cullen & Co 2,400 [1]; narrative such as cabinets bought on credit [1]. (b) The purchases journal records only goods bought for resale, and cabinets are a non-current asset [1]. Examiner insight: A narrative is part of a journal entry; leaving it out usually costs the final mark.

8. Bank charges: payments side, bank column; debit bank charges [1]. Direct credit: receipts side, bank column; credit Sedgwick Florists [1]. Insurance direct debit: payments side, bank column; debit insurance [1]. The statement is the first evidence of these items, so it is the source [1]. Examiner insight: State the side, the column and the other account; naming only the side leaves the entry incomplete.

9. (a) 520 + 280 - 60 - 400 = 340 [1]; the credit note and payment are deducted [1]. (b) Sedgwick compares each item with its own supplier account [1]; a difference points to a missing document or an error to investigate [1]. Examiner insight: “Check it” is too vague; say what is checked against what.

10. (a) Advantage: cash is at hand for small payments or change [1]. Drawback: risk of theft or loss [1]. (b) Benefits, any two: faster entry; automatic totals and postings; easy backup and searching [2]. Limitations, any two: set-up and staff training costs; breakdown or lost data; one wrong input spreading automatically [2]. Examiner insight: If a question asks for both benefits and limitations, answers covering only one side usually leave marks unclaimed.

11. (a) Purchases 600 less 15% = 510 [1].

Elmsworth Parts account (purchases ledger)
Debit                       |  Credit
Purchases returns     80.00 |  Purchases           510.00
Bank                 419.25 |
Discount received     10.75 |
                     510.00 |                      510.00

Return 80 on the debit side [1]; owed 430 and discount 10.75 (2.5% of 430) [1]; bank 419.25 [1]; balance nil [1]. (b) Purchases journal [1]; purchases returns journal [1]; cash book [1]. (c) Only the net invoice figure is recorded, so trade discount is never entered [1]. Examiner insight: Work out cash discount on the balance actually owed after the return, and label each side of the account.

Where marks are usually lost

• Naming a document without matching it to its issuer or use.
• Calculating cash discount on the list price.
• Recording gross, not net, invoice values in a journal.
• Placing a cheque or transfer in the cash column.
• Forgetting that a contra appears on both sides of the cash book.
• Restoring the petty cash float with the cash left.
• Omitting a narrative from the general journal.
• Giving benefits only when a question asks for limitations too.

Next steps

• Re-read the revision notes and the study guide.
• Take the free 10-minute diagnostics to find weak spots.
• Return to the 0452 hub or print the checklist.
• Book a free trial class.

Frequently asked questions

How is cash discount calculated after goods have been returned? Cash discount is calculated on the amount actually owed, which is the invoice total less any credit note, not on the list price or the original invoice. It is only allowed if the customer pays within the discount period.

Which column of the cash book is used for a cheque or bank transfer? Cheques, card receipts, online payments and bank transfers go in the bank column, because the money moves through the bank account. Only notes and coins go in the cash column.

How is a contra entry recorded in the cash book? A contra, such as moving money from the bank to the till, appears on both sides of the cash book: in the bank column on one side and the cash column on the other. Nothing is posted to the ledger because both sides are in the cash book.

How do you answer a benefits and limitations question in Cambridge IGCSE Accounting (0452)? Give both benefits and limitations when the question asks for both, for example for keeping cash at the business or for manual or digital original entry. Giving benefits only is a common way to lose marks.

Official syllabus

Source: the Cambridge IGCSE Accounting 0452 syllabus (version 1), valid for examination in 2027, 2028 and 2029, from Cambridge University Press and Assessment (Cambridge International Education).