WAC12 exam technique

The paper

• One written paper: 3 hours, 200 marks; 50% of the International A level (100% of the A2 year).
• Section A: two compulsory questions of 55 marks each.
• Section B: answer three of four questions of 30 marks each.
• A resource booklet contains the data; calculators may be used. Papers are sat in January, June and October.
• You have 180 minutes for 200 marks, about 0.9 minutes per mark: roughly 50 minutes on each Section A question and 27 minutes on each Section B question.

What examiners reward

• Formulas: write the formula, then the figures, then the answer with units (£, pence, %, times, days). Missing units cost marks (an answer of 0.20 lost the final mark; '£0.20' was needed).
• Own-figure rule: a wrong earlier answer used correctly later still earns marks, so always attempt later parts.
• Layouts: IAS 1 terminology, correct headings and dates (an opening balance is b/d on the first day of the new period), every row of a budget completed, journal entries with exact account names on the correct side.
• Evaluations (usually the last part, often 10 to 12 marks): points for and against, applied to the company in the question, using your earlier calculations, ending with a clear conclusion or recommendation.

Errors reported again and again

• Adding profits on disposal (and deducting losses) in cash flow reconciliations.
• Treating depreciation as a cash flow in NPV, or forgetting the initial cost.
• Counting shares from the money value instead of dividing by nominal value.
• Misclassifying fixed and variable costs, or mixing up semi-fixed and semi-variable.
• Using the last price on a stores card instead of the average.
• Posting the purchase consideration to the wrong side of the Realisation account, or omitting the profit on realisation.
• Answering from the wrong viewpoint (shareholders instead of the company; customers instead of the buyer).
• Giving one brief point for a two-mark 'explain' question: add a linked development.

Worked example

A Section B question asks: 'Evaluate whether the company should invest in the new machine (12 marks).' Plan the answer.

1. Case for: quote your NPV (positive?), IRR versus WACC, payback against the target, and qualitative benefits specific to the case
2. Case against: estimates may be wrong, long payback increases risk, financing costs and gearing, effects on staff or environment
3. Other points: alternatives, the reliability of the data, the company's objectives
4. Conclusion: a clear decision with the main reason

Answer: Balanced, applied argument using earlier figures, ending in a justified recommendation

Check yourself

1. How is the WAC12 paper structured?
   • Four compulsory 50-mark questions
   • Section A: multiple choice; Section B: one essay
   • Two papers of 100 marks each
   • Section A: two compulsory 55-mark questions; Section B: three from four 30-mark questions
   Show answer

   Section A: two compulsory 55-mark questions; Section B: three from four 30-mark questions. That is the structure in the specification.

2. About how long should you spend on a 30-mark Section B question?
   • About 10 minutes
   • About 27 minutes
   • About 60 minutes
   • About 90 minutes
   Show answer

   About 27 minutes. 200 marks in 180 minutes is about 0.9 minutes per mark; 30 marks is about 27 minutes.

3. A candidate writes 'Dividend per share = 0.20'. Why might this lose the mark?
   • Dividends per share are always in %
   • It should be rounded to a whole number
   • Dividend per share is never examined
   • No unit is given (it should be £0.20 or 20 pence)
   Show answer

   No unit is given (it should be £0.20 or 20 pence). Examiners withheld marks for missing units.

4. What does the own-figure rule mean?
   • A wrong earlier answer used correctly in a later part can still earn the later marks
   • Candidates may invent their own data
   • Only the final answer is marked
   • Candidates may choose their own questions in Section A
   Show answer

   A wrong earlier answer used correctly in a later part can still earn the later marks. Errors are carried forward, so later parts should always be attempted.

5. Which approach scores best in an evaluation question?
   • A list of general advantages only
   • Repeating the calculations without comment
   • Points for and against, applied to the company, using earlier figures, with a clear conclusion
   • A conclusion with no reasons
   Show answer

   Points for and against, applied to the company, using earlier figures, with a clear conclusion. Examiners repeatedly ask for applied, balanced answers with a judgement.

6. A question asks why the merging companies paid the vendor's shareholders in shares. A candidate explains why shareholders prefer shares. What is the problem?
   • The answer takes the wrong viewpoint: it should explain the companies' reasons
   • Shares cannot be used to pay for a business
   • The question needs a calculation
   • Nothing: any viewpoint is acceptable
   Show answer

   The answer takes the wrong viewpoint: it should explain the companies' reasons. The June 2025 examiners reported exactly this error.

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Sources

• Pearson Edexcel International Advanced Subsidiary/Advanced Level in Accounting specification (XAC11/YAC11), Issue 2
• Pearson Edexcel IAL Accounting WAC12 examiners' report, October 2022
• Pearson Edexcel IAL Accounting WAC12 examiners' report, June 2025

Last updated 8 November 2026. Spotted a mistake? Tell us.