About Double entry, ledgers and books of prime entry in O Level Accounting
Double entry, ledgers and books of prime entry is one of the 6 main topics in our O Level Accounting (Cambridge (CAIE) 7707) question bank, and about 16% of its real questions come from it. Tayyari Karo has 70 real questions on this topic from 2021 to 2026, from Paper 1, Paper 2; 57 are multiple choice and marked instantly, and the rest are structured questions with a model answer. By difficulty: 38 medium, 27 easy, 5 hard.
Work through the questions below, then open the explanation for each one. Redo the ones you missed a few days later.
Try 6 real questions
These are real past-paper questions. Think of your answer first, then open the explanation.
May/June 2026 · Paper 1 · Double entry, ledgers and books of prime entry
Which two statements outline the duties of a bookkeeper?
1 the detailed recording of all the financial transactions of a business
2 the maintenance of double-entry records using accepted principles and methods
3 the measurement of the progress of a business by comparing financial statements
4 the use of financial records to assist in decision-making
- 1 and 2
- 1 and 3
- 2 and 4
- 3 and 4
Show answer and explanation
Answer: A. 1 and 2
A bookkeeper records transactions and keeps double-entry records; comparing statements and decision-making are accountant/management tasks.
Oct/Nov 2025 · Paper 1 · Double entry, ledgers and books of prime entry
What is not an example of a book-keeping entry?
- an entry made in the bank column of the cash book for a cheque received
- any goods returned by a customer entered in the sales returns journal
- cost of goods purchased on credit entered in the supplier's account
- expenses paid during the year entered in the income statement
Show answer and explanation
Answer: D. expenses paid during the year entered in the income statement
The income statement is a financial statement prepared from the ledger, not a book-keeping entry.
May/June 2024 · Paper 1 · Double entry, ledgers and books of prime entry
Which business documents are not entered in the books of prime entry? 1 credit note 2 debit note 3 invoice 4 statement of account
- 1 and 3 only
- 1 only
- 2, 3 and 4
- 2 and 4 only
Show answer and explanation
Answer: D. 2 and 4 only
A statement of account (and a debit note) is not a source for prime entry.
Oct/Nov 2023 · Paper 1 · Double entry, ledgers and books of prime entry
Meena's sales ledger account had a balance b/d of $100 and balance c/d of $20 on 1 February. What is the balance?
- It is an asset.
- It is an expense.
- It is a liability.
- It is revenue.
Show answer and explanation
Answer: A. It is an asset.
A sales ledger balance is a receivable (asset).
May/June 2022 · Paper 1 · Double entry, ledgers and books of prime entry
Kai bought office equipment from Meena and paid immediately by bank transfer. How should Kai record this in his accounting records?
- debit bank, credit Meena
- debit bank, credit office equipment
- debit Meena, credit bank
- debit office equipment, credit bank
Show answer and explanation
Answer: D. debit office equipment, credit bank
Asset (office equipment) debited, bank credited.
May/June 2021 · Paper 1 · Double entry, ledgers and books of prime entry
Which items would be recorded in the general journal of a bakery?
1 correction of an error of principle relating to an oven repair
2 purchase of a delivery vehicle on credit
3 purchase of flour on credit
4 return by a customer of a faulty batch of bread
- 1 and 2
- 1 and 3
- 2 and 4
- 3 and 4
Show answer and explanation
Answer: A. 1 and 2
