Free AICPA AICPA-CPA Exam Practice Questions 2026

Gareth, a sales tax registered trader purchased a computer for use in his business. The invoice for the computer showed the following costs related to the purchase: $ Computer 890 Additional memory 95 Delivery 10 Installation 20 Maintenance (1 year) 25 –––––– 1,040 Sales tax (17·5%) 182 –––––– Total 1,222 –––––– How much should Gareth capitalise as a non-current asset in relation to the purchase?

Which TWO of the following errors would cause the total of the debit column and the total of the credit column of a trial balance not to agree? (1) A transposition error was made when entering a sales invoice into the sales day book (2) A cheque received from a customer was credited to cash and correctly recognised in receivables (3) A purchase of non-current assets was omitted from the accounting records (4) Rent received was included in the trial balance as a debit balance

Which of the following requires filing a gift tax return if the transfer exceeds the available annual gift tax exclusion?

Which of the following requires filing a gift tax return if the transfer exceeds the available annual gift tax exclusion?

Prior to the financial year end of 31 July 20X9, Cannon Co has received a claim of $100,000 from a supplier for providing poor quality goods which have damaged the supplier’s plant and equipment. Cannon Co’s lawyers have stated that there is a 20% chance that Cannon will successfully defend the claim. Which of the following is the correct accounting treatment for the claim in the financial statements for the year ended 31 July 20X9?