CIMA BA3 Valid Dump : Fundamentals of Financial Accounting

BA3 real exams

Exam Code: BA3

Exam Name: Fundamentals of Financial Accounting

Updated: Mar 31, 2025

Q & A: 395 Questions and Answers

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CIMA Fundamentals of Financial Accounting Sample Questions:

1. Refer to the exhibit.

A suspense account shows a credit balance of $230 which has arisen because of the recording of a gas bill twice in the gas account.
In order to correct the error, which one of the following journal entries is required?
The correct journal entry is

A) C
B) D
C) B
D) A


2. A business buys a new production line at a cost of £100,000. After using the line for one year a more advanced version of the line is marketed by the manufacturer. As a result the production line in operation has a market value of £ 50,000. The line is being depreciated straight line over five years.
The charge to the income statement for impairment of the production line will be


3. A company which is VAT-registered receives an invoice for goods purchased for resale totaling $2,585 from a supplier that is not VAT-registered. VAT is at the rate of 17.5%.
The correct entry to record the invoice is:
A)

B)

C)

D)

A) Exhibit C
B) Exhibit D
C) Exhibit B
D) Exhibit A


4. A company is preparing its accounts to 30 November. The latest gas bill received by the company was dated
30 September and included usage charges for the quarter 1 June to 31 August of $5,700 and a service charge of $1,200 for the quarter 1 October to 31 December. It is estimated that the gas bill for the following quarter will be a similar amount.
What will be the amount of the accrual shown in the accounts at 30 November 2006?

A) $5,300
B) $4,900
C) $3,800
D) $3,400


5. Refer to the exhibit.

A company has the following equity balances at the beginning of the year:
During the year the company issued 100,000 new shares at $1.20 each

What are the equity balances after this issue?

A) C
B) D
C) B
D) A


Solutions:

Question # 1
Answer: A
Question # 2
Answer: Only visible for members
Question # 3
Answer: D
Question # 4
Answer: A
Question # 5
Answer: C

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