YCKSS 4E5N 2022 PRELIM POA P1 QN

Name: Index Number: Class: YIO CHU KANG SECONDARY SCHOOL O-LEVEL PRELIMINARY EXAMINATION 2022 SECONDARY FOUR EXPRESS SECONDARY FIVE NORMAL (ACADEMIC) PRINCIPLES OF ACCOUNTS 7087/01 Paper 1 1 hour 13 September 2022 (Tuesday) READ THESE INSTRUCTIONS FIRST Write your name, index number and class on all the work you hand in. Write in dark blue or black pen. You may use an HB pencil for any rough working. Do not use staples, paper clips, glue or correction fluid. The use of an approved calculator is allowed. Answer all questions. Where layouts are to be completed, you may not need all the lines for your answers. Where the T account format is used, the account should be balanced. Where applicable, the balance should be brought down to the next financial year. Where the columnar format is used, the running balance column should be updated for the first and last entries. Where applicable, the balance should be brought down to the next financial year. The businesses described in this question paper are fictitious. At the end of the examination, fasten all your work securely together. The number of marks is given in brackets [ ] at the end of each question or part question. For Examiner’s Use 40 Setter: Mr Jude Ang This document consists of 7 printed pages and 1 blank page.

2 O-LEVEL PRELIM EXAM 2022 7087/01 Answer all questions. 1 Adrian runs a small provision shop and deals mainly with cash transactions. REQUIRED (a) State and explain two internal controls of cash that Adrian should have. …………………………………………………………………………………..…..…… …………………………………………………………………………………………… …………………………………………………………………………………..…..…… ……………………………………………………………………………….……….....[4] (b) State two reasons why cheques are rejected by banks. …………………………………………………………………………………………… …………………………………………………………………………………..…..…… ……………………………………………………………………………….……….....[2] (c) Explain why bank reconciliation is done by businesses. …………………………………………………………………………………………… …………………………………………………………………………………..…..…… ……………………………………………………………………………….……….....[2] Adrian realises that the balance in his cash at bank account is 10 500 Cr. He realises that this is not a healthy balance. (d) Suggest two ways that Adrian can improve the cash at bank balance of his business. …………………………………………………………………………………………… …………………………………………………………………………………..…..…… …………………………………………………………………………………..…..…… ……………………………………………………………………………….……….....[2]

3 O-LEVEL PRELIM EXAM 2022 7087/01 On 31 December 2020, Adrian did a stocktake and found that $2 000 worth of goods were either expired or missing. (e) Prepare t