CIE O'LEVEL (PRINCIPLES OF ACCOUTS)

SPECIFICATION

Subject Code: 7110

For the Cambridge O Level in Principles of Accounts, candidates take two compulsory components: Paper 1 and Paper 2. 

PAPER 1: MULTIPLE CHOICE (MCQ) - 7110/11

Time: 1 hour | Weighted at 33.3% of total marks 30 marks

There are 30 questions drawn from across the syllabus. All questions are compulsory.

PAPER 2: STRUCTURED WRITTEN PAPER - 7110/12

Time: 2 hours | Weighted at 66.6% of total marks 120 marks

There are 4–6 compulsory questions drawn from topics across the syllabus. One of these questions (carrying approximately one third of the marks for Paper 2) involves the preparation of the financial statements of a manufacturing or trading business, e.g. Income Statements (the manufacturing, trading and profit and loss accounts) and the statement of financial position. Questions on this paper may require completion of pro form as and tables.

SYLLABUS

Basic principles

•  Role of accounting

•  The Double Entry system of book-keeping

•  Documentary records

•  Books of prime entry

•  The Cash Book

•  The General Journal

•  The Ledger

•  The Trial Balance

•  Adjustments to ledger accounts

Accounting procedures

•  Capital and revenue expenditure and receipts

•  Accounting for depreciation

•  Correction of errors

•  Control accounts

Financial statements

•  Income statements

•  Statements of Financial Position

Preparation of financial statements

•  Sole trader

•  Partnership

•  Clubs and societies

•  Incomplete records

•  Limited liability companies

•  Manufacturing accounts

Payroll accounting

•  Payroll records

•  Book-keeping entries for payroll

Advanced principles

•  Financial relationships (ratio analysis)

•  Accounting principles