Cambridge IGCSE Accounting 0452 — 2025 Oct/Nov Paper 1 · Variant 2
0452/12/O/N/25 · 35 questions · 35 marks · ≈39 min
The question paper and its mark scheme, free to read here and free to download. This is Cambridge’s own paper, exactly as it was sat.
Question paper12 pages
Mark scheme3 pages
Answers below. Sit the paper first if you are practising.
Questions as text
Q1 · What is not an example of a book-keeping entry?
1 What is not an example of a book-keeping entry? A an entry made in the bank column of the cash book for a cheque received B any goods returned by a customer entered in the sales returns journal C cost of goods purchased on credit entered in the supplier’s account D expenses paid during the year entered in the income statement
Mark scheme: D
Question 2
2 What are liabilities? A amounts that are owed to or owned by a business B amounts that are owed to others for resources provided C amounts that need to be written off D amounts that the owner owes to the business
Mark scheme: B
Q3 · Sally maintains a full set of accounting records
3 Sally maintains a full set of accounting records. She has entered the following transactions in her cash book. 1 A cheque for $200 was received from a credit customer. 2 An insurance premium of $200 was paid by cheque. 3 Petrol for the delivery van was paid for in cash. 4 Total cash sales of $400 were received. Which transactions will then be entered into the nominal ledger? A 1 and 4 B 1 only C 2, 3 and 4 D 2 and 3 only
Mark scheme: C
Q4 · An account in the purchases ledger of X Limited has a debit balance
4 An account in the purchases ledger of X Limited has a debit balance. What does this balance represent? A an amount owed by X Limited B an amount paid to X Limited C a prepayment made by X Limited D total purchases made by X Limited
Mark scheme: C
Q5 · The following account appeared in the books of Mary
5 The following account appeared in the books of Mary. Paul account $ $ April 1 balance b/d 90 April 21 returns 25 14 sales 150 30 bank 88 discount 2 ___ balance c/d 125 240 240 Which statement is correct? A On 1 April, Paul owed Mary $90. B On 14 April, Paul sold goods for $150 to Mary. C On 21 April, Mary returned goods for $25 to Paul. D On 30 April, Mary owed Paul $125.
Mark scheme: A
Q6 · A supplier has received a debit note from a customer
6 A supplier has received a debit note from a customer. What does the supplier use this debit note for? A to complete a statement of account B to correct the sales journal C to make an entry in the sales returns journal D to prepare a credit note
Mark scheme: D
Q7 · Sue allows 2% cash discount to credit customers who settle their account within 28 days
7 Sue allows 2% cash discount to credit customers who settle their account within 28 days. Jane purchased goods for $200 from Sue on 10 September but returned these goods to Sue on 15 September. Which entry did Sue make for the transaction on 15 September? A purchases returns journal $196 B purchases returns journal $200 C sales returns journal $196 D sales returns journal $200
Mark scheme: D
Q8 · A trader prepared their trial balance which showed the debit column total of $45 000 and…
8 A trader prepared their trial balance which showed the debit column total of $45 000 and the credit column total of $40 000. The following errors were then discovered. 1 The discount received account balance of $500 was listed in the debit column of the trial balance. 2 The returns outwards account balance of $250 was omitted from the trial balance. 3 The debit column of the trial balance was overcast by $3750. All errors were corrected and the trial balance totals agreed. What were the trial balance totals after the correction of errors? A $40 500 B $40 750 C $41 000 D $ 44500
Mark scheme: B
Q9 · Ahmed’s trial balance totals did not agree
9 Ahmed’s trial balance totals did not agree. He entered the difference in a suspense account. The following errors were later discovered. 1 A payment of $200 for a vehicle repair had been debited to the motor vehicles account. 2 Drawings of $150, correctly recorded in the cash book, had not been posted to the drawings account. 3 The sales journal had been undercast by $900. What was the original balance on Ahmed’s suspense account? A $550 B $750 C $950 D $1050 Susanne is a trader. She received a cheque from Zahir, a credit customer, for $300. This cheque
Mark scheme: B
Q10 · Was incorrectly debited to Zahir’s account and credited to the bank account
10 was incorrectly debited to Zahir’s account and credited to the bank account. Which journal entry corrects this error? debit credit $ $ A bank 300 Zahir 300 B bank 600 Zahir 600 C Zahir 300 bank 300 D Zahir 600 bank 600 A trial balance does not agree, and a suspense account is opened.
Mark scheme: B
Q11 · Which statement is not correct?
11 Which statement is not correct? A Errors of commission and errors of original entry are entered in the suspense account. B The trial balance difference is entered in the suspense account. C The suspense account remains open until all the errors preventing the agreement of the trial balance have been corrected. D When all of the errors found have been corrected, there will be no balance carried down in the suspense account.
Mark scheme: A
Q12 · After receiving her bank statement, Lyn updated her cash book
12 After receiving her bank statement, Lyn updated her cash book. Which items would reduce the overdrawn balance in the cash book? 1 bank interest received 2 credit transfer received 3 direct debit payment A 1 and 2 B 1 and 3 C 2 and 3 D 3 only
Mark scheme: A
Q13 · Natalie is both a customer of and a supplier to Gustav
13 Natalie is both a customer of and a supplier to Gustav. On 28 June, Gustav’s account in Natalie’s purchases ledger had a credit balance of $295, and his account in Natalie’s sales ledger had a debit balance of $140. Gustav wishes to offset one amount against the other. Which entries will Gustav make in his control accounts? debit credit A purchases ledger control account $140 sales ledger control account $140 B purchases ledger control account $155 sales ledger control account $155 C sales ledger control account $140 purchases ledger control account $140 D sales ledger control account $155 purchases ledger control account $155
Mark scheme: A
Q14 · Johnny prepared his sales ledger control account
14 Johnny prepared his sales ledger control account. The figures in it came from several different sources. Which statements are correct? 1 The source of the opening balance was the sales account. 2 The discount allowed was totalled in the three-column cash book. 3 The irrecoverable debts were posted from the general journal. A 1 and 2 B 1 and 3 C 2 and 3 D 3 only
Mark scheme: C
Q15 · At the beginning of the year on 1 January, Zac paid $420 for an equipment repair
15 At the beginning of the year on 1 January, Zac paid $420 for an equipment repair. He entered this amount in the equipment account. At the end of the year on 31 December, depreciation of 20% per annum was charged on the balance of the equipment account, using the straight-line method. What was the overall effect on the book value of the equipment on 31 December? A $84 understated B $336 overstated C $420 overstated D $504 understated
Mark scheme: B
More questions on Capital and revenue expenditure and receipts
Q16 · Why does a business need to provide for depreciation in its accounting records?
16 Why does a business need to provide for depreciation in its accounting records? A to ensure availability of funds to replace its old non-current assets B to ensure that its current assets value is not overstated C to record as an expense the amount of the non-current assets used up during the year D to show its non-current assets at their market value
Mark scheme: C
More questions on Accounting for depreciation and disposal of non-current assets
Q17 · An asset originally costing $20 000 had been depreciated by $15 000 when it was sold for…
17 An asset originally costing $20 000 had been depreciated by $15 000 when it was sold for $3000. Which entry will be shown in the disposal account to record the amount to be transferred to the income statement? A $2000 credit B $2000 debit C $8000 credit D $8000 debit
Mark scheme: A
More questions on Accounting for depreciation and disposal of non-current assets
Q18 · Why should prepaid income be shown in the financial statements of a business?
18 Why should prepaid income be shown in the financial statements of a business? A so that credit customers pay the correct amount B so that payments to credit suppliers are correctly recorded C so that the statement of financial position shows the correct current assets D so that the total income is matched against the total costs of the same period
Mark scheme: D
Q19 · What is the effect on total assets and on equity in the statement of financial position…
19 What is the effect on total assets and on equity in the statement of financial position if the value of closing inventory is overstated? total assets equity A overstated overstated B overstated understated C understated overstated D understated understated
Mark scheme: A
Q20 · Who works in a service business?
20 Who works in a service business? 1 a hairdresser 2 an estate agent 3 a car mechanic 4 a car salesperson A 1, 2 and 3 B 1 and 2 only C 2, 3 and 4 D 3 and 4 only
Mark scheme: A
Q21 · At the beginning of the year on 1 January, Keith was owed $1500 commission by clients
21 At the beginning of the year on 1 January, Keith was owed $1500 commission by clients. During the year, Keith received $18000 commission. At the end of the year on 31 December, Keith was owed $800 commission by clients. How much commission did Keith record in his income statement for the year ended 31 December? A $15700 B $17300 C $18700 D $20300
Mark scheme: B
Q22 · Jack and Gill are setting up in business as partners and are considering writing up a…
22 Jack and Gill are setting up in business as partners and are considering writing up a partnership agreement. What is not included in any partnership agreement drawn up by them? A the rate of interest to be charged on drawings B the rate of interest to be paid on a loan from a partner C the rate of interest to be paid on a loan received from the bank D the rate of interest to be paid on the capital invested by each partner
Mark scheme: C
Q23 · Raj and Rohit are in partnership sharing profits and losses in the ratio of 2:1
23 Raj and Rohit are in partnership sharing profits and losses in the ratio of 2:1. Raj is entitled to an annual salary of $3000. The profit for the year was $14100 for the year ended 31 December 2024. On 1 January 2024, Raj’s current account had a debit balance of $1800. What was the credit balance on Raj’s current account on 1 January 2025? A $8600 B $10400 C $12200 D $12400
Mark scheme: A
Q24 · BCD Limited provided the following information
24 BCD Limited provided the following information. $ ordinary shares 300000 retained earnings 200000 debentures 170000 How much was the equity and the capital employed of BCD Limited? equity capital employed $ $ A 300000 470000 B 300000 670000 C 500000 470000 D 500000 670000
Mark scheme: D
Q25 · Which statement correctly describes called-up share capital?
25 Which statement correctly describes called-up share capital? A all share capital which has been issued to shareholders B shares which have been issued and those not yet issued C the share capital for which payment has been requested D the value of shares for which payment has been received
Mark scheme: C
Q26 · A sports club was established on 1 January
26 A sports club was established on 1 January. It has a clubhouse and also runs a snack bar for its members. Which items would be included in the receipts and payments account for the first year ended 31 December? 1 new furniture to be used in the clubhouse, paid by credit transfer 2 subscriptions paid by club members in advance for the next financial year 3 subscriptions owing by club members at the end of the financial year 4 snack bar wages owing at the end of the financial year A 1 and 2 B 1 and 4 C 2 and 3 D 3 and 4
Mark scheme: A
Q27 · A sports club started running a café, selling hot and cold drinks and confectionery, on 1…
27 A sports club started running a café, selling hot and cold drinks and confectionery, on 1 January 2024. The following information is given for the year ended 31 December 2024. $ sales 3200 purchases 1750 wages paid to café assistant 500 inventory at 31 December 2024 250 What is the profit on the café for the year ended 31 December 2024? A $700 B $950 C $1200 D $1450
Mark scheme: C
Q28 · A manufacturing business provided the following information
28 A manufacturing business provided the following information. $ prime cost 236000 factory overheads 42000 opening work in progress 8000 closing work in progress 6000 What was the factory cost of production transferred to the income statement? A $234 000 B $238 000 C $276 000 D $280 000
Mark scheme: D
Q29 · Gem has been in business for many years
29 Gem has been in business for many years. On 1 March, Gem purchased a new factory. On that date, he paid three months’ insurance on his factory, totalling $900. What should Gem enter for insurance in his statement of financial position on 31 March? A $300 in current assets B $300 in current liabilities C $600 in current assets D $600 in current liabilities
Mark scheme: C
Q30 · Munira has not maintained a full set of accounting records
30 Munira has not maintained a full set of accounting records. How would she calculate her credit purchases figure for a month? A payments to credit suppliers + closing trade payables – discounts received – opening trade payables payments to credit suppliers – closing trade payables + discounts received + opening B trade payables C payments to credit suppliers – closing trade payables – discounts received + opening trade payables payments to credit suppliers + closing trade payables + discounts received – opening D trade payables
Mark scheme: D
Q31 · The assets of a business increased by $22 000 and its liabilities decreased by $6000 over…
31 The assets of a business increased by $22 000 and its liabilities decreased by $6000 over a one-year period. During this period, the owner invested an additional $4000 of private funds into the business and withdrew $7000 for personal use. How much was the profit for the year? A $13000 B $17000 C $19000 D $31000
Mark scheme: D
Q32 · Jonny provided the following information
32 Jonny provided the following information. $ inventory 3500 cash 100 bank overdraft 1900 trade receivables 2400 trade payables 2100 What was Jonny’s current ratio? A 1.33 : 1 B 1.50 : 1 C 1.58:1 D 1.95:1
Mark scheme: B
More questions on Calculation and understanding of accounting ratios
Q33 · Jose runs a business providing accounting and book-keeping services
33 Jose runs a business providing accounting and book-keeping services. What is not relevant in analysing his business financial statements? A current ratio B profit margin C rate of inventory turnover D return on capital employed
Mark scheme: C
Q34 · Jamila’s business sells one type of product only
34 Jamila’s business sells one type of product only. She provided the following information. year 1 year 2 number of units sold 1000 1000 sales revenue $8000 $10800 rate of inventory turnover 28 days 31 days What happened in year 2? A The sales price decreased, and goods were sold faster. B The sales price decreased, and goods were sold more slowly. C The sales price increased, and goods were sold faster. D The sales price increased, and goods were sold more slowly.
Mark scheme: D
Q35 · Antionette decides to treat a calculator bought for her large business as an expense…
35 Antionette decides to treat a calculator bought for her large business as an expense instead of as a non-current asset even though it will be used for several years. Which principle did Antionette apply in deciding to account for the calculator as an expense? A duality B historic cost C materiality D money measurement
Mark scheme: C
What was in this paper
The subtopics covered by these 35 questions, and how many questions each got. Open one in a new tab to see every Cambridge question on it.
3Corrections of errors3Other payables and other receivables3The double entry system of book-keeping3Accounting for depreciation and disposal of non-current assets2Clubs and societies2Incomplete records2Interpretation of accounting ratios2Limited companies2Partnerships2Accounting concepts1Bank reconciliation1Books of prime entry1Business documents1Calculation and understanding of accounting ratios1Capital and revenue expenditure and receipts1Manufacturing accounts1Sole traders1The accounting equation1The trial balance1Valuation of inventory1What you needed in this session
Cambridge’s own grade thresholds for 2025 Oct/Nov, Paper 1 · Variant 2. A higher threshold means an easier paper — the bar moves with how the cohort did.