OxfordAQA IGCSE Accounting: General accounting concepts and their use (9215) – Practice Questions

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 section 3.3 of the OxfordAQA International GCSE Accounting (9215) specification, version 1.2 (exams from May/June 2026 onwards): the ten general accounting concepts and their use. Amounts are in dollars; businesses and figures are invented. Learn the content first from the study guide and the revision notes. The course hub is OxfordAQA IGCSE Accounting, the printable checklist tracks progress and the free diagnostics show where to focus.

Questions

1. Ulverby Joinery fits kitchens. State the concept each situation illustrates.

(a) The owner pays his daughter’s school fees from the business bank account, and the amount is not treated as a business expense. [1] (b) The firm’s loyal group of customers is not given a value in the statement of financial position. [1] (c) A customer places an order on 28 December. The kitchen is delivered and invoiced on 6 January, and the sale is included in the new year’s revenue. [1] (d) A lathe bought for 12,000 is shown at that cost less depreciation, although a dealer says it is now worth 15,000. [1]

2. Sunnerby Garden Centre values closing inventory line by line.

Line	Cost	Other information
Lawn mowers	2,400	Selling price 2,600; repair needed costing 700
Hedge trimmers	1,500	Selling price 2,100
Fertiliser (damaged bags)	900	Can be sold for 450 in total

(a) Calculate the value of closing inventory. [3] (b) State the effect on profit of using this method instead of cost. [1] (c) Name the concept that requires this method. [1]

3. Rushfield Cleaning buys a van on the first day of its financial year for 24,000. It expects to use the van for four years and then sell it for 4,000.

(a) Work out the yearly straight line depreciation charge. [1] (b) Calculate the depreciation charge for each of the first two years using the reducing balance method at 30%, and the asset’s net book value once year 2 is complete. [3] (c) Name the concept that requires the business to use the same method every year, and explain why this is useful to the owner. [2]

4. Plumtree Bakery: wages of 1,800 were owing at the start of the year, 41,300 was paid in the year and 2,100 is owing at the year end.

(a) Prepare the wages account, ending with the amount moved to the income statement. [4] (b) Name the concept that requires the 2,100 to be included, and state which statement of financial position heading includes it. [2]

5. Hollinworth Stationers received rent of 9,600, including 1,200 for next year. It received commission of 3,100 and earned a further 450 not yet received.

(a) Calculate the rent income and the commission income for the year. [2] (b) State the statement of financial position heading for each of the 1,200 and the 450. [2] (c) Name the concept behind these adjustments. [1]

6. Ulverby Joinery has trade receivables of 28,000 and writes off a debt of 1,000 as irrecoverable. It wants a provision for doubtful debts of 4% of the remaining receivables. The existing provision is 700.

(a) Calculate the new provision and the increase needed. [3] (b) Calculate the total expense in the income statement for irrecoverable debts and the change in provision. [1] (c) Calculate trade receivables as reported in the statement of financial position, and name the concept behind the provision. [2]

7. Hollinworth Stationers incurs these costs. (i) Printing machine 6,500. (ii) Installation of the machine 400. (iii) Repair to the shop shutters 350. (iv) An office calculator 11.

(a) Classify (i) to (iii) as capital or revenue expenditure. [3] (b) State the amount at which the machine is recorded. [1] (c) Explain which concept allows (iv) to be expensed, and state the effect on profit if the repair (iii) had been wrongly recorded as capital expenditure. [2]

8. Rushfield Cleaning sells a machine that cost 16,000 and has accumulated depreciation of 10,400. It receives 4,500 by bank.

(a) Prepare the disposal account. [4] (b) Name the concept that explains why the machine was carried at cost less depreciation, not at market price, before the sale. [1]

9. Ulverby Joinery owns equipment that cost 20,000 and has charged year 1 depreciation at 20% reducing balance. The owner wants to switch to straight line at 10% of cost in year 2 to increase profit. The office also buys a 9 pack of paper and expenses it.

(a) Calculate the year 2 depreciation charge under each method. [2] (b) Explain which concept the change would breach and why it matters. [2] (c) Explain why the paper can be expensed immediately. [2]

10. Sunnerby Garden Centre faces these issues.

(a) It receives an order for 5,000 of goods on 29 December, and delivers and invoices on 4 January. State in which year the sale is revenue and why. [2] (b) Land bought for 50,000 is now valued at 80,000. State the amount in the statement of financial position, the concept and the difference from the valuation. [2] (c) Explain how the going concern concept affects the way a business values its equipment. [2]

11. Plumtree Bakery’s gross profit is 64,000. The trial balance shows rent 12,000, wages 21,500, insurance 3,200, motor expenses 2,650, trade receivables 18,000 and provision for doubtful debts 500. Adjust for: rent prepaid 2,000; wages owing 1,500; insurance prepaid 800; equipment cost 15,000, residual 3,000, four years, straight line; vehicles cost 18,000, accumulated depreciation 6,000, 25% reducing balance; irrecoverable debt 900; provision to be 5% of remaining receivables.

(a) Calculate the net profit. [8] (b) Name the concept behind (i) the rent, wages and insurance adjustments and (ii) the provision. [2]

Answers

1. (a) The business entity concept [1]. (b) Money measurement, the idea that only items with a money value are recorded [1]. (c) Realisation [1]. (d) Historic cost [1]. [4] Examiner insight: Commit to one precise concept per situation rather than listing several.

2. (a) Mowers: net realisable value is 2,600 - 700 = 1,900, below cost, so 1,900 [1]. Trimmers: cost 1,500 is lower than the 2,100 selling price, so 1,500 [1]. Fertiliser: 450 is below cost, so 450. Total 3,850 [1]. (b) Profit is lower by 950, because cost is 4,800 and the value used is 3,850 [1]. (c) Prudence [1]. [5] Examiner insight: Apply the rule line by line; one block total hides lines where net realisable value exceeds cost.

3. (a) (24,000 - 4,000) / 4 = 5,000 [1]. (b) Year 1: 30% of 24,000 = 7,200 [1]. Year 2: 30% of (24,000 - 7,200) = 30% of 16,800 = 5,040 [1]. Net book value = 24,000 - 7,200 - 5,040 = 11,760 [1]. (c) Consistency [1]; results from different years can be compared fairly because the same method is used [1]. [6] Examiner insight: State the base you use; reducing balance applies to net book value, not original cost.

4. (a) Wages account:

Debit		Credit
Bank	41,300	Balance b/d	1,800
Balance c/d	2,100	Income statement	41,600
	43,400		43,400

Opening balance on the credit side [1], bank payments on the debit side [1], closing balance carried down [1], transfer of 41,600 to the income statement [1]. (b) Accruals [1]; it is an other payable in current liabilities [1]. [6] Examiner insight: An accrued expense is a credit balance brought down; the wrong side gives a wrong transfer figure.

5. (a) Rent income = 9,600 - 1,200 = 8,400 [1]. Commission income = 3,100 + 450 = 3,550 [1]. (b) The 1,200 is income received in advance, shown in current liabilities [1]. The 450 is income due, shown in current assets [1]. (c) Accruals [1]. [5] Examiner insight: Give the figure and where it sits; income due is an asset, not a liability.

6. (a) Remaining receivables = 28,000 - 1,000 = 27,000 [1]. New provision = 4% of 27,000 = 1,080 [1]. Increase = 1,080 - 700 = 380 [1]. (b) Expense = 1,000 + 380 = 1,380 [1]. (c) Receivables = 27,000 - 1,080 = 25,920 [1]; prudence [1]. [6] Examiner insight: Deduct the irrecoverable debt before taking the percentage.

7. (a) (i) Capital [1]. (ii) Capital [1]. (iii) Revenue [1]. (b) 6,500 + 400 = 6,900 [1]. (c) Materiality: the amount is too small to affect decisions, so it is expensed [1]. Profit would be overstated by 350, before any depreciation [1]. [6] Examiner insight: Refer to the size of the amount and its effect on readers of the statements, not just that it is cheap.

8. (a) Disposal account:

Debit		Credit
Machinery (cost)	16,000	Provision for depreciation	10,400
		Bank	4,500
		Income statement (loss)	1,100
	16,000		16,000

Asset at cost on the debit side [1], depreciation to date on the credit side [1], sale proceeds on the credit side [1], balancing loss of 1,100 moved to the income statement [1]. (b) Historic cost [1]. [5] Examiner insight: Check net book value (5,600) against proceeds (4,500) to confirm a loss, not a profit.

9. (a) Reducing balance: net book value after year 1 = 20,000 - 4,000 = 16,000, and 20% of 16,000 = 3,200 [1]. Straight line: 10% of 20,000 = 2,000 [1]. (b) Consistency [1]; changing method only to raise profit would make year-to-year comparison unreliable [1]. (c) Materiality [1]; the amount is too small to affect the decisions of anyone reading the statements, so recording it as inventory would be unnecessary [1]. [6] Examiner insight: Say that wanting more profit is not a valid reason for changing method.

10. (a) The new year [1], because delivery and invoicing happen on 4 January (realisation) [1]. (b) The land stays at 50,000 [1] under historic cost, 30,000 below the valuation [1]. (c) The business is assumed to continue, so equipment is valued as an asset being used, not at forced-sale prices [1], and its cost is spread over its life by depreciation [1]. [6] Examiner insight: Part (a) needs the reason as well as the year.

11. (a) Rent = 12,000 - 2,000 = 10,000 [1]. Wages = 21,500 + 1,500 = 23,000 [1]. Insurance = 3,200 - 800 = 2,400 [1]. Equipment depreciation = (15,000 - 3,000) / 4 = 3,000 [1]. Vehicle net book value = 18,000 - 6,000 = 12,000, so 25% gives 3,000 [1]. Irrecoverable debt 900 [1]. Provision = 5% of (18,000 - 900) = 855; increase = 855 - 500 = 355 [1]. Total expenses = 10,000 + 23,000 + 2,400 + 2,650 + 3,000 + 3,000 + 900 + 355 = 45,305. Net profit = 64,000 - 45,305 = 18,695 [1]. (b) (i) Accruals [1]. (ii) Prudence [1]. [10] Examiner insight: Show each adjusted expense on its own line and keep a total so one slip is easy to trace.

Where marks are usually lost

• Defining a concept but not applying it to the facts given.
• Naming accruals when the situation calls for prudence, and the reverse.
• Valuing inventory as one total, or forgetting selling and repair costs.
• Taking the reducing balance percentage of original cost each year.
• Putting an accrued expense on the wrong side of the ledger account.
• Taking the provision percentage before deducting irrecoverable debts.
• Describing income received in advance as an asset.

Next steps

• Review the revision notes and the study guide.
• Use the course hub and checklist.
• Try all the free 10-minute diagnostics.
• Book a free trial class.

Frequently asked questions

Where do students usually lose marks on accounting concepts questions in OxfordAQA 9215? Common losses are defining a concept without applying it to the facts given, naming accruals when the situation calls for prudence or the reverse, and valuing inventory as one total or forgetting selling and repair costs.

How do I get the marks for naming a concept? Name the concept and apply it to the facts in the question, saying what it means for the figure being recorded or valued. A definition on its own earns little.

What calculation mistakes are common in this topic? Taking the reducing balance percentage of original cost each year, taking the provision percentage before deducting irrecoverable debts, and putting an accrued expense on the wrong side of the ledger account.

Which section of the 9215 specification do these questions cover? Section 3.3 of OxfordAQA International GCSE Accounting 9215, the general accounting concepts and their use.

Official syllabus

Source: OxfordAQA International GCSE Accounting (9215), specification version 1.2, for exams from May/June 2026 onwards, section 3.3 Development of the accounting model (general accounting concepts and their use).