CIMA Fundamentals of Financial Accounting : BA3 exam

BA3
  • Exam Code: BA3
  • Exam Name: Fundamentals of Financial Accounting
  • Updated: Jun 03, 2026
  • Q & A: 395 Questions and Answers

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About CIMA Fundamentals of Financial Accounting : BA3 Exam Questions

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CIMA Fundamentals of Financial Accounting Sample Questions:

1. An organization restores its petty cash balance to £350 at the end of each month.
During October, the total expenditure column in the petty cash book was calculated as being £310, and hence the impress was restored by this amount. The analysis columns, which had been posted to the nominal ledger, totaled only £300.
This error would result in:

A) The petty cash balance being £10 lower than it should be
B) The trial balance being £10 higher on the credit side
C) The trial balance being £10 higher on the debit side
D) No imbalance in the trial balance


2. Accounting standards are needed so that financial statements will fairly and consistently describe financial performance.
What are accounting standards an example of?

A) Principles based accounting
B) Cost accounting
C) Rules based accounting
D) Cash accounting


3. Which TWO of the following are transactions that would be recorded in the sales ledger control account?

A) Cash received from credit customers
B) Credit purchases.
C) Cash paid to credit suppliers.
D) Irrecoverable debts
E) Cash sales.


4. The accounting concept to be considered when the owner of a business uses business funds to pay for his private household expenses, is the:

A) Realization concept
B) Separate entity concept
C) Money measurement concept
D) Prudence concept


5. Which FOUR of the following should be categorised as a DEBIT (DR) when filling out a T-account?

A) Increase in drawings
B) Increase in expenses
C) Decrease in assets
D) Increase in income
E) Increase in assets
F) Increase in liabilities
G) Decrease in liabilities
H) Increase in capital


Solutions:

Question # 1
Answer: B
Question # 2
Answer: C
Question # 3
Answer: A,D
Question # 4
Answer: B
Question # 5
Answer: A,B,E,G

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