ACCA Cheat Sheet 2026

The 30 highest-yield ACCA facts, distilled from real exam questions. Print it, save it as a PDF, or study it here — free, no sign-up.

1. According to the Companies Act 2006, which of the following is a general duty owed by a director to the company? → A duty to exercise independent judgment.
2. Which of the following best describes 'inherent risk' in an organizational context? → The raw or untreated risk before any controls
3. Which standard requires disclosure of related party transactions and relationships in financial statements? → IAS 24
4. In a group cash flow statement, how is the acquisition of a subsidiary (net of cash acquired) presented? → As an investing activity
5. Data is information that has undergone processing to give its recipients meaning. → FALSE
6. In a consolidated income statement, the profit attributable to non-controlling interests is: → Shown as an allocation of group profit, below the profit for the period line
7. Which of the following alternatives outlines the protocols needed for each of the various tasks that a corporation performs? → A policy manual
8. Which of the following is an example of a detective control? → Bank reconciliation reviews
9. For a simple contract to be legally binding under English law, which of the following elements is NOT required? → The contract must be in writing.
10. Which of the following is a characteristic of a defined benefit pension plan that distinguishes it from a defined contribution plan? → The employer bears the investment and actuarial risk
11. Under IAS 36, which of the following is NOT an external indicator of potential impairment? → Adverse changes in the technological environment
12. Under IAS 28, an associate is defined as an entity over which the investor has: → Significant influence
13. In real options analysis, a 'growth option' is best described as: → The right to expand operations if early results prove favorable
14. The receivables ledger control account serves which THREE of the following purposes? → A receivables ledger control account helps to locate errors in the trial balance
15. When calculating a chargeable gain for Capital Gains Tax (CGT) purposes on the disposal of an asset, which of the following is NOT an allowable cost? → The cost of repairing a leaking roof on a property to maintain its original state.
16. Which hedging instrument allows a company to benefit from a favorable exchange rate movement while still providing protection against adverse movements? → Currency option
17. What is the effect of a stock dividend (bonus issue) on a company's statement of financial position? → Total equity remains unchanged but its composition changes
18. Which of the following is a recognised defensive tactic used by a target company's board to resist a hostile takeover bid? → Inviting a preferred acquirer (white knight) to make a competing bid
19. In a risk register, which two dimensions are most commonly used to prioritize risks? → Likelihood and impact
20. When a parent loses control of a subsidiary without selling all its shares, how should the retained interest be treated? → Remeasured to fair value on the date control is lost
21. According to IFRS 15 Revenue from Contracts with Customers, which of the following is NOT one of the five steps for revenue recognition? → Assess the creditworthiness of the customer.
22. Which of the following describes a job evaluation's goal? → Demonstrating compliance with equal pay lagislation
23. In the context of business risk, 'reputational risk' is best described as: → The risk that negative publicity will damage an organization's standing with stakeholders
24. Under IFRS 3, how should contingent consideration in a business combination be initially measured? → At fair value at the acquisition date
25. Under IFRS 15, at which step is the transaction price allocated across performance obligations? → Step 4
26. Which of the following statements about the 'three lines of defense' model is correct? → Management controls and internal controls form the first line
27. The choice was made to select the 12th item, and then every 20th item, in order to take a sample. Which kind of sampling is this an example of? → Systematic Sampling
28. Under IFRS 16, how does a lessee account for a lease on commencement date? → Recognize a right-of-use asset and a corresponding lease liability
29. Whistleblowing policies are primarily a control to address which type of risk? → Fraud and ethical misconduct risk
30. In enterprise risk management (ERM), what is a 'risk appetite'? → The amount of risk an organization is willing to accept in pursuit of its objectives