KASNEB CPA Foundation Level Exam Paper with Answers (2024 Edition)

📘 CPA FOUNDATION LEVEL FINAL EXAM PAPER



Duration: 3 hours

Maximum Marks: 100



🔹 SECTION A – MULTIPLE CHOICE QUESTIONS (20 MARKS)



(Choose the correct answer. Each question carries 1 mark)



1. Which of the following is not a characteristic of a sole proprietorship?

A. Easy to form

B. Shared liability

C. Single owner

D. Owner keeps all profits

✅ Answer: B



2. The accounting equation is:

A. Assets + Liabilities = Capital

B. Assets = Liabilities + Capital

C. Assets - Liabilities = Capital

D. Assets + Capital = Liabilities

✅ Answer: B



3. In economics, scarcity means:

A. Goods are cheap

B. Needs are few

C. Resources are limited

D. Wants are unlimited

✅ Answer: C

, 4. A debit entry in the cash book means:

A. Cash has been paid

B. A liability has been settled

C. Cash has been received

D. An error has occurred

✅ Answer: C



5. The communication process begins with:

A. The receiver

B. The feedback

C. The sender

D. The channel

✅ Answer: C



6. VAT is an example of:

A. Direct tax

B. Progressive tax

C. Indirect tax

D. Corporate tax

✅ Answer: C



7. Which one of the following is an output device?

A. Keyboard

B. Printer

C. Scanner

D. Mouse

✅ Answer: B