All Practice Exams

Free Practice Questions for LC Accounting

Exam-style questions and explanations by OpenExamPrep.

✓ No registration✓ No credit card
100+ Questions
100% Free

Loading practice questions...

Exam Review

Key Facts: LC Accounting Exam

1 paper

Leaving Certificate Accounting is assessed by one terminal written paper under the established syllabus

State Examinations Commission

3 hours

Higher Level written paper lasts 3 hours

State Examinations Commission examination papers

400 marks

Higher Level paper is marked out of 400 marks

State Examinations Commission examination papers

3 sections

Higher Level paper has three sections: two financial accounting sections and one management accounting section

State Examinations Commission examination papers

120 + 200 + 80

Section mark allocation at Higher Level is 120, 200 and 80 marks respectively

State Examinations Commission examination papers

H1-H8

Higher Level grades range from H1 (90-100%) to H8 (below 30%)

State Examinations Commission grading scale

To 2028

The established Accounting syllabus is examined to June 2028; redeveloped specification arrives later for new fifth-year cohorts

NCCA Curriculum Online

100

Free original single-best-answer practice questions here

OpenExamPrep

Leaving Certificate Accounting is the Irish senior-cycle accounting subject set by the State Examinations Commission. For 2026 it remains a single 3-hour written paper (400 marks at Higher Level) under the established syllabus: financial accounting final accounts and specialised topics plus management accounting. Content spans concepts and records, depreciation and control accounts, company and specialised final accounts, incomplete records, cash flow, ratios and budgets. This 100-question bank provides original single-best-answer concept and calculation practice across the syllabus.

Sample LC Accounting Practice Questions

Try these sample questions to review concepts for the LC Accounting exam. Each question includes a detailed explanation. Start the interactive quiz above for the full 100+ question experience with AI tutoring.

1Which accounting concept requires that revenue and related expenses are recognised in the period to which they relate, regardless of when cash is received or paid?
A.Going concern concept
B.Accruals (matching) concept
C.Money measurement concept
D.Entity concept
Explanation: The accruals (matching) concept requires income and expenses to be recognised in the period they are earned or incurred, not when cash changes hands. Going concern assumes continuity; money measurement records only monetary items; entity separates business from owner.
2Under the prudence concept, which treatment is most appropriate?
A.Recognise anticipated profits immediately and ignore possible losses
B.Recognise anticipated losses when probable but recognise profits only when realised
C.Always overstate assets to create a reserve
D.Ignore bad debts until they are legally written off by a court
Explanation: Prudence requires caution: do not anticipate profits, but provide for known or probable losses (e.g. bad debts). Overstating assets or recognising unrealised profits breaches prudence.
3Equipment cost €48,000, residual value €3,000, useful life 5 years, straight-line method. What is the annual depreciation charge?
A.€9,600
B.€9,000
C.€45,000
D.€8,000
Explanation: Straight-line depreciation = (cost − residual value) ÷ useful life = (€48,000 − €3,000) ÷ 5 = €45,000 ÷ 5 = €9,000 per year.
4A machine cost €25,000 and is depreciated at 20% per annum using the diminishing (reducing) balance method. What is depreciation for Year 2?
A.€5,000
B.€4,000
C.€3,000
D.€10,000
Explanation: Year 1 depreciation = 20% × €25,000 = €5,000; net book value end Year 1 = €20,000. Year 2 = 20% × €20,000 = €4,000.
5On 1 January a van cost €30,000. Straight-line depreciation is 20% per year on cost (no residual). The van is sold on 31 December of Year 2 for €16,000. What is the profit or loss on disposal?
A.Loss of €2,000
B.Profit of €2,000
C.Loss of €8,000
D.Profit of €4,000
Explanation: Annual depreciation = 20% × €30,000 = €6,000. After 2 years accumulated depreciation = €12,000; net book value = €18,000. Proceeds €16,000 − NBV €18,000 = loss of €2,000.
6Rent paid during the year was €18,000. Opening prepaid rent was €1,500 and closing prepaid rent is €2,000. What rent expense appears in the profit and loss account?
A.€18,500
B.€17,500
C.€18,000
D.€21,500
Explanation: Expense = cash paid + opening prepaid − closing prepaid = €18,000 + €1,500 − €2,000 = €17,500. Opening prepaid relates to this year; closing prepaid is deferred to next year.
7Electricity expense for the year should be €9,200. The business paid €8,400 and there was no opening accrual. What is the closing accrued expense?
A.€800
B.€9,200
C.€8,400
D.€17,600
Explanation: If the expense for the year is €9,200 and only €8,400 was paid with no opening accrual, the unpaid balance of €800 is accrued at year end and included in current liabilities.
8Trade receivables are €40,000. A specific bad debt of €2,000 is to be written off and a general provision of 5% is required on remaining receivables. What is the net receivables figure for the balance sheet?
A.€36,100
B.€38,000
C.€36,000
D.€37,100
Explanation: After writing off €2,000, receivables = €38,000. Provision 5% × €38,000 = €1,900. Net receivables = €38,000 − €1,900 = €36,100.
9In double-entry bookkeeping, which statement is correct?
A.Every debit entry must have an equal credit entry
B.Assets are credited when they increase
C.Liabilities are debited when they increase
D.Drawings are credited when the owner takes goods
Explanation: The dual aspect rule is that every transaction has equal debits and credits. Asset increases are debited; liability increases are credited; drawings increase with a debit.
10Which of the following is capital expenditure?
A.Annual insurance premium on premises
B.Purchase of a new delivery van for long-term use
C.Office stationery used during the month
D.Wages of shop assistants
Explanation: Capital expenditure acquires or improves a non-current asset expected to benefit more than one period (for example a delivery van). Insurance, stationery and wages are revenue expenses.

About the LC Accounting Exam

Leaving Certificate Accounting is an Irish State examination subject administered by the State Examinations Commission and studied over the two-year senior cycle. The established syllabus (examined to June 2028) covers the conceptual and regulatory framework of accounting, double-entry records and year-end adjustments, sole trader and company final accounts, specialised accounts (manufacturing, clubs, farms, departmental, incomplete records), cash flow statements, ratio analysis and published accounts concepts, plus management accounting including costing, break-even analysis and budgeting. Assessment is by a single terminal written paper (Higher or Ordinary level). At Higher Level the paper is 3 hours and 400 marks across three sections emphasising computational accuracy and presentation. A redeveloped Accounting specification is scheduled for introduction no earlier than September 2027 for fifth-year students; 2026 candidates remain on the established written-only syllabus. Results use the H1-H8 / O1-O8 grade scales for CAO points.

Exam sponsor: State Examinations Commission (SEC), Ireland. The requirements and fees below concern the certification or admission exam, separate from our free practice resources.

Assessment

One terminal written paper at Higher or Ordinary level under the established syllabus (examined to June 2028). Higher Level (400 marks, 3 hours): Section 1 Financial Accounting (120 marks) — answer Question 1 (120 marks, A or B) or two of Questions 2–4 (60 marks each); Section 2 Financial Accounting (200 marks) — answer two of three questions (100 marks each); Section 3 Management Accounting (80 marks) — answer one of two questions. A redeveloped specification is planned no earlier than September 2027 for later cohorts.

Time Limit

The Higher Level written paper lasts 3 hours (commonly an afternoon sitting during the June Leaving Certificate examinations) and is marked out of 400 marks.

Passing Score

No fixed pass mark. Results are reported on the H1-H8 scale at Higher Level (H1 = 90-100% down to H8 = below 30%) and O1-O8 at Ordinary Level.

Exam / Certification Fees

Candidates in recognised schools do not pay a separate sitting fee; external and repeat candidates pay an examination fee set annually by the State Examinations Commission.

Exam sponsor website

Fees, eligibility, and exam policies can change. Confirm them with the exam sponsor before applying or paying.

Our practice resources: topics covered

We aim to reflect publicly available exam outlines and topic information in our study resources. Coverage, format, and difficulty may differ from the actual exam, and we cannot guarantee that every detail is accurate or current. Confirm exam requirements, fees, and policies with the official exam sponsor.

8%

Conceptual and Regulatory Framework

Practice covers going concern, accruals, prudence and consistency, qualitative characteristics of accounting information, capital versus revenue expenditure, and Higher Level awareness of true and fair view and the auditor's role.

18%

Records, Adjustments and Controls

Practice covers double-entry logic, trial balance limitations, accruals and prepayments, bad debts and provisions, straight-line and reducing-balance depreciation with disposal, bank reconciliation, debtors and creditors control accounts, and suspense account error correction.

32%

Final Accounts and Specialised Accounts

Practice covers sole trader trading and profit and loss accounts and balance sheets, company capital structure and dividends, manufacturing accounts and unit cost, club income and expenditure and accumulated fund, farm enterprise ideas, departmental profit, incomplete records (net worth and mark-up methods) and simple cash flow statements.

20%

Interpretation and Published Accounts

Practice covers gross and net profit margins, mark-up, stock turnover, current and acid-test ratios, ROCE, gearing, investment ratios, limitations of ratio analysis and published PLC report concepts at Leaving Certificate level.

22%

Management Accounting

Practice covers fixed versus variable and direct versus indirect costs, contribution and break-even, margin of safety, product costing ideas, and cash and master budget logic under budgetary control.

Preparing for the LC Accounting Exam

What You Need to Know

  • Passing score: No fixed pass mark. Results are reported on the H1-H8 scale at Higher Level (H1 = 90-100% down to H8 = below 30%) and O1-O8 at Ordinary Level.
  • Assessment: One terminal written paper at Higher or Ordinary level under the established syllabus (examined to June 2028). Higher Level (400 marks, 3 hours): Section 1 Financial Accounting (120 marks) — answer Question 1 (120 marks, A or B) or two of Questions 2–4 (60 marks each); Section 2 Financial Accounting (200 marks) — answer two of three questions (100 marks each); Section 3 Management Accounting (80 marks) — answer one of two questions. A redeveloped specification is planned no earlier than September 2027 for later cohorts.
  • Time limit: The Higher Level written paper lasts 3 hours (commonly an afternoon sitting during the June Leaving Certificate examinations) and is marked out of 400 marks.
  • Exam / certification fees: Candidates in recognised schools do not pay a separate sitting fee; external and repeat candidates pay an examination fee set annually by the State Examinations Commission. Official sources

Using Our Practice Resources

  • Work through all 100 available questions
  • Review every answer and explanation
  • Track weak areas and revisit them
  • Use our AI tutor for tough concepts

LC Accounting: Suggested Study Strategy

1Practise full SEC past papers and marking schemes so you learn how marks are awarded for layout, workings and correct treatment of adjustments.
2Master year-end adjustments early: accruals, prepayments, depreciation, bad debts and provisions appear across almost every final-accounts question.
3Drill numerical topics daily: ratios, mark-up/margin, stockturn, control accounts, incomplete records and break-even until workings are automatic.
4Learn which Section 1 option suits you (full Q1 final accounts versus two shorter questions) and time yourself under 3-hour conditions.
5Keep cash-flow classification clear: profit is not cash; add back non-cash charges and track working-capital movements carefully.
6For management accounting, memorise contribution, break-even and margin of safety formulas and practise cash budget sequencing.
7Present workings neatly with euro signs and labels; many marks are lost to arithmetic slips or omitted balance-sheet classifications.

Frequently Asked Questions

How is Leaving Certificate Accounting examined in 2026?

In 2026 it is examined under the established syllabus by one terminal written paper at Higher or Ordinary level. Higher Level is 3 hours and 400 marks across three sections: final accounts-style financial accounting, further financial accounting topics and management accounting.

What are the three sections of the Higher Level paper?

Section 1 (120 marks) is financial accounting final accounts: answer Question 1 (120 marks) or two of Questions 2–4 (60 each). Section 2 (200 marks) requires two of three financial accounting questions (100 each). Section 3 (80 marks) is management accounting: answer one of two questions.

What topics does Leaving Cert Accounting cover?

The established syllabus covers the conceptual framework, double-entry records and adjustments, sole trader and company accounts, manufacturing, club, farm and departmental accounts, incomplete records, cash flow, ratio analysis, published accounts concepts (Higher Level) and management accounting (costing, break-even and budgets).

Is there coursework for Leaving Certificate Accounting in 2026?

No for the established-syllabus cohort: assessment is the written paper. A redeveloped Accounting specification is planned for introduction no earlier than September 2027 for later fifth-year cohorts.

How are grades reported?

Higher Level uses H1-H8 and Ordinary Level uses O1-O8. Grades 1-7 cover 10% bands from 90-100% down to 30-39%, with grade 8 for marks below 30%.

Are these official State Examinations Commission questions?

No. These are original OpenExamPrep single-best-answer concept and calculation questions modelled on the syllabus. The SEC publishes official past papers and marking schemes separately, and you should also practise full written final accounts, specialised accounts and management accounting questions under timed conditions.