Questions from General Accounting

Q: The following summarized accounts have been prepared for Pill Limited:

The following summarized accounts have been prepared for Pill Limited: Additional information: (a) There were no sales of non-current assets during the year ended 31 May 2020. (b) The loans were paid...

Q: The following information relates to Brian Limited for the year ended 30

The following information relates to Brian Limited for the year ended 30 June 2020. Additional information: 1 The company purchased some new vehicles during 2020 for £75,000. 2 During 20...

Q: A limited liability company’s annual report should be made easier to understand

A limited liability company’s annual report should be made easier to understand for the average shareholder.’ Discuss. Answer: 1. This is an argument between two schools of thought: those who argu...

Q: Examine the argument that annual reports are a costly irrelevance because hardly

Examine the argument that annual reports are a costly irrelevance because hardly anyone refers to them. Answer: 1. It is not clear whether annual reports are largely ignored. It is possibly the...

Q: What is the difference between tax avoidance and tax evasion? From

What is the difference between tax avoidance and tax evasion? From a personal finance perspective, do you think either of these activities is justified?

Q: Should companies be banned from including non-financial data in their

Should companies be banned from including non-financial data in their annual reports? Answer: 1. This would appear to be an extreme reaction. Assuming that companies operate within the law, it wo...

Q: What items do you think could be taken out of a listed

What items do you think could be taken out of a listed company’s published statement or profit or loss and other comprehensive income and its statement of financial position without affecting the usef...

Q: Describe what is meant by a ‘qualified audit report’ illustrating your

Describe what is meant by a ‘qualified audit report’ illustrating your answer with appropriate examples. Answer: 1. There are two main types of audit report: unqualified and qualified. 2. An unqu...

Q: Suggest 10 items that should be disclosed in a listed company’s periodic

Suggest 10 items that should be disclosed in a listed company’s periodic summary statement. Answer: 1. This question calls for some originality on the part of the student. 2. An explanation of w...

Q: State briefly the main reasons why a company may employ a team

State briefly the main reasons why a company may employ a team of accountants.