SACE Accounting Practice Questions
The 64 practice questions inside the SACE Accounting Mastery Pack, grouped by area of study. Every question comes with a full worked solution.
- Understanding accounting concepts and conventions
- Multiple choice × 11
- Explain × 1
- Managing financial sustainability
- Multiple choice × 35
- Calculate × 3
- Show the calculation × 1
- Complete × 2
- Prepare × 4
- Post × 1
- Comment on × 1
- Explain × 1
- Providing accounting advice
- Multiple choice × 2
- Discuss × 1
- Write a letter, report, or email × 1
Honeyridge Pantry is a fictional sole trader that sells local jams and preserves. Extract from its trial balance at 30 June 2026:
| Account | Debit ($) | Credit ($) |
|---|---|---|
| Sales | 186 000 | |
| Sales returns | 3 500 | |
| Inventory (1 July 2025) | 24 600 | |
| Purchases | 98 400 | |
| Purchase returns | 2 900 |
A stocktake on 30 June 2026 valued inventory on hand at $27 100 (cost).
Gross profit margin = gross profit ÷ net sales.
(a) Calculate the cost of goods sold for the year. (2 marks)
(b) Calculate the gross profit. (1 mark)
(c) Calculate the gross profit margin, to one decimal place. (1 mark)
Show the worked answer
Answer: Worked solution
(a) Cost of goods sold
| Inventory, 1 July 2025 | 24 600 |
| + Purchases | 98 400 |
| − Purchase returns | (2 900) |
| = Goods available for sale | 120 100 |
| − Inventory, 30 June 2026 | (27 100) |
| Cost of goods sold | $93 000 |
(b) Gross profit
Net sales = $186 000 − $3 500 = $182 500
Gross profit = $182 500 − $93 000 = $89 500
(c) Gross profit margin
$89 500 ÷ $182 500 × 100 = 49.0%. Roughly 49 cents of every dollar of net sales is left after covering the cost of the jars sold, to meet expenses and provide profit.
Mark allocation (4)
- (a) 1 mark for correct treatment of purchase returns and opening inventory to reach $120 100; 1 mark for deducting closing inventory to give $93 000.
- (b) 1 mark for $89 500. Using gross sales ($186 000) instead of net sales gives $93 000 and does not earn the mark.
- (c) 1 mark for 49.0% with working shown (consequential on the student's (b) and net sales).
20 full-length practice exams with worked solutions, 20 revision notes, 64 practice questions and 200 flashcards.
Preview a sample note and question free on the SACE Accounting hub →