8953 Book-keeping & Accounting Level 1
General Observations Candidates again performed well this year although the rate of First Class Passes declined this year by the same extent as Passes increased. Tutors and candidates are to be congratulated for all their hard work and commitment to the subject. They should hopefully continue to perform at least as well in the new syllabus with the same attention to detail and commitment as seen in past years.
Fail, 18%
First Class, 53% Pass, 29%
Areas of good performance Double-entry and ledger accounts and final accounts were handled well by candidates. Use of appropriate detail and good wok on calculations characterised good answers presented by candidates. Areas for development Although candidates successfully posted petty cash vouchers to the petty cash book, the reimbursement of the imprest amount and the entering of the original balance demands further practice. The final question calling for explanatory notes proved to cause some problems for candidates. These demand depth and breadth of comment as opposed to very brief outlines of one or two points. Recommendations Written answers should focus on key points and their development. Other questions on the examination paper may provide useful material for examples when writing about, for example, fixed assets, the trial balance, the cash book and so on. Clarity of work is important. In reality, for example, a bank reconciliation statement may be read by a number of people and should be sufficiently detailed to be useful to a variety of individuals and for some months into the future. A list of unidentified payments and receipts would not fulfil this need. Tips Use document titles as given in the question. For example: A. Business Trading, Profit and Loss Account for the year ended 31 December… A. Business Balance Sheet as at 31 December
Additional comments Label each page of your answer so that the examiner can understand workings and statements prepared. Clearly indicate which questions are answered and link the workings clearly with the answers.
8953 Book-keeping & Accounting Level 2
General Observations Candidates were less successful than in the previous year but the number of First Class Passes remained above the historical norm. Candidates and teachers are to be congratulated on this continued fine performance.
Fail, 34%
First Class, 38%
Pass, 28%
Areas of good performance Candidates continue to perform well in preparing final accounts and control accounts. The improvement in ledger accounts reported in the previous examination report was maintained and it was good to see more candidates showing their workings for trial balance figures. Areas for development Question 2 involving Journal entries and the Suspense account continued to cause difficulties for candidates as mentioned in the previous examination report. In addition to confusion between debit and credit entries, a significant number of candidates omitted narratives for the journal entries where these were required. Question 4 requiring the completion of a cash book and calculation of working capital continues to indicate that candidates find it difficult in this scenario to exhibit their usually strong double-entry skills. Recommendations Candidates should practice Journal entries from the fundamental beginnings – identifying the error, identifying the correct approach, reversing the error and stating the correct approach. Ledger accounts may be useful in assisting candidates to think through the correct workings. Workings should always be shown and proper presentation followed in preparing statements. For, example, the fixed assets section of a balance sheet should comprise cost, accumulated depreciation and net book value for each class of assets. Totals for each column which can be cross cast to confirm the figures are correct are helpful for candidates as well as illustrating the appropriate presentation expected. Tips • Use appropriate presentation in all financial statements with full detail. • Show clear and full workings. • In checking through work at the end of the examination, look at it from thee viewpoint of someone independent. • Is it easily understood by someone not involved in preparing the statements?
Additional comments Sufficient practice is essential before the examination as part of adequate preparation. Aim for clarity, accuracy and show workings fully in the examination. .