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CIMA BA3 Exam Syllabus Topics:

CIMA Fundamentals of Financial Accounting Sample Questions:

Question 1

Which of the following is not a correct definition of the accounting equation?

A. Liabilities = Assets - Capital
B. Capital = Assets + Liabilities
C. Capital = Assets - Liabilities
D. Assets = Capital + Liabilities

Question 2

The Framework is described as a conceptual framework when used in the creation of new accounting standards.
Which ONE of the following describes the approach of the Framework?

A. Rules based
B. Principles based
C. Regulatory
D. Statutory

Question 3

The concept of stewardship refers to which ONE of the following?

A. An accountant's responsibility to remain optimistic in the presenting financial information
B. An accountant's responsibility to make sure all financial information is correct
C. An accountant's responsibility to properly advise management on financial information
D. An accountant's responsibility to properly look after and present financial information

Question 4

Accounting records should be kept by all businesses for many reasons.
Which THREE of the following are reasons for keeping accounting records?

A. Provides information about the resources and activities of a business
B. Aids the efficient running of a business
C. To aid the application of bank loans
D. To reassure employees
E. Indicates how successfully managers are performing
F. In case of potential takeovers

Question 5

External auditors are primarily responsible for:

A. Preparing the financial accounts
B. Determining that the accounts show a fair representation of the affairs of the company
C. Detecting errors and fraud
D. Checking the accuracy of all entries in the accounting system

Solutions: