Question

In: Accounting

1-First Choice Trading PJSC has provided the following information : Assets as on 31.12.2018 Dhs 340...

1-First Choice Trading PJSC has provided the following information :

Assets as on 31.12.2018 Dhs 340 million , Liabilities Dhs 200 million. As on 31.12.2019 , If the assets increased by Dhs 30 million , Liabilities decreased by DHs 25 million , Equity as on 31.12.2019 should be -

195

200

140

135

2-

Which of the following is not an internal users of accounting information ?

Employees

Vice President sales

Managing Director

External auditors

3- Which of the following item is example of asset

Sale of goods

Rent ( for current month)

Advance received from customers

Advance given to suppliers

4-Which of the following is an example of Liability ?

Sale of goods

Rent ( paid for current month)

Equipment

Loan from Bank

Assets = Liabilities + Equity

5- Which of the following statement correctly explain components of equity? Tick the most appropriate answer.

Equity simply means common stock

Equity = Contributed Capital + Retained Earnings ; Retained Earnings = Revenue -Expense - Dividend

Equity simply means common stock - treasury stock + Profit

Equity means common stock + profit

6- Which of the following describes trial balance

It measures profit of the business deducting expenses from income

It shows assets, liabilities and equity of the business

It shows cash flows of the business

It shows all ledger account balances classifying by debit and credit

7- First Choice PJSC has provided the following leader account balances : What should be total of debit or credit of the Trial Balance ( Amount in Dhs)?

Sales 560,000, Equipment 320,000, Bank Loan 200,000, Expenses 350,000, Common stock 120,000, Accounts Receivables 80,000 Inventory 120,000, cash 40,000, Accounts payable 30,000

910000

880000

920000

900000

8- Which of the following US company was found to be engaged in accounting fraud in 2001?

Enron accounting scandal

Wells Fargo Bank accounting manipulation

Worldcom scandal

Barnie Madoff Scandal

9 - Which of the following is thee correct journal entry for the following transaction ?

XYZ PJSC raised $ 100 million by issue of common stock

Cash Dr. $ 100 million

Common Stock. Cr. $ 100 million

Common Stock. Dr. $ 100 million

Cash. Cr $ 100 million

It is not an accounting transaction. so journal entry is required

Liability Dr. $ 100 million

Cash Cr $100 million

Expert Solution

Answer is the images with the explanation.

ekkarill92 answered 1 year ago

Abc trading provided following information :- 1. Prepare a Cash Flow Statement from the following information...

Abc trading provided following information :- 1. Prepare a Cash Flow Statement from the following information for the year ended 30 June 2021. 2. Prepare a Statement in accordance with AASB 107 reconciling net cash flows from operating activities to operating profit after income tax. Borrowed from NAB Bank $22,500 Cash at the beginning of the year $100,050 Cash received from Accounts Receivable $136,000 Cash received from sale of equipment $10,000 Cash paid for operating expenses $36,300 Cash sales $80,500...

1. For your first assignment, management has provided the following revenue and cost information: High-end set...

1. For your first assignment, management has provided the following revenue and cost information: High-end set economical set Sales price $3,500 price unit $1,000 Per unit Labor $875 per unit $250 per unit materials $1,400 per unit $300 per unit direct fixed costs $25,000 per month $16,500 per month allocated fixed cost $85,000 per month $85,000 per month They want a better understanding of their business to make budgeting and sales goals decisions and have asked you to determine their:For...

Baldwin Company has provided the following information for 2019, the first year of the company’s operations....

Baldwin Company has provided the following information for 2019, the first year of the company’s operations. (i) Purchased raw materials on account for $240,000. (ii) Issued $230,000 in raw materials to production ($32,000 were not traceable to specific jobs). (iii) Incurred $242,000 in direct labour costs (24,120 hours) and $92,500 in supervision costs (paid in cash). (iv) Incurred the following additional manufacturing overhead costs: factory utilities $24,000 (paid in cash); depreciation on equipment $45,000; indirect supplies $17,500 (paid in cash)....

Sosa Company has provided the following budget information for the first quarter of 2016 Total sales...

Sosa Company has provided the following budget information for the first quarter of 2016 Total sales $297,500 Budgeted purchases of direct materials 39,450 Budgeted direct labor cost 38,880 Budgeted manufacturing overhead costs: Variable manufacturing overhead 3,645 Depreciation 600 Insurance and property taxes 9,120 Budgeted selling and administrative expenses: Salaries expense 5,000 Rent expense 3,000 Insurance expense 1,200 Depreciation expense 100 Supplies expense 2,975 Additional data related to the first quarter of 2016 for Sosa Company: a. Capital expenditures include $36,000...

Darwin Company, a manufacturer, has provided the following information pertaining to its assets and liabilities: 12/31/2018...

Darwin Company, a manufacturer, has provided the following information pertaining to its assets and liabilities: 12/31/2018 12/31/2019 Account receivable $10,000 $4,000 Inventory $11,000 $12,000 Prepaid insurance $4,000 $7,000 Wage payable $3,000 $4,000 Unearned revenue $4,000 $2,000 In addition, Darwin also reported that its net income in 2019 was $10,000 and the depreciation expense in 2019 was $5,000. (1) How much was Darwin’s cash flow from operating activities in 2019? (8 points) Suppose Darwin Company has also provided the following information...

You are provided with the following information related to class 8 assets for the current year:...

You are provided with the following information related to class 8 assets for the current year: Undepreciated Capital Cost (UCC) Beginning Balance: $82,000 Cost of additions: $2,000 Dispositions (i.e. reduction for disposals): $15,000 The class 8 rate is 20%. Using only this information, what is the maximum capital cost allowance (CCA) deduction for the current year for class 8?

Valuation of assets Using the information provided in the following table, find the value of each...

Valuation of assets Using the information provided in the following table, find the value of each asset: Asset End of Year Amount A 1 3000 18% 2 3000 3 3000 B 1 through &inf; 300 15% C 1 0 16% 2 0 3 0 4 0 5 30000 D 1 through 5 1900 13% 6 8600 E 1 2000 13% 2 3000 3 5000 4 7000 5 4000 6 1000

Janes Company provided the following information on intangible assets: a. A patent was purchased from the...

Janes Company provided the following information on intangible assets: a. A patent was purchased from the Lou Company for $1,000,000 on January 1, 2016. Janes estimated the remaining useful life of the patent to be 10 years. The patent was carried on Lou’s accounting records at a net book value of $410,000 when Lou sold it to Janes. b. During 2018, a franchise was purchased from the Rink Company for $560,000. The contractual life of the franchise is 10 years...

Janes Company provided the following information on intangible assets: A) A patent was purchased from the...

Janes Company provided the following information on intangible assets: A) A patent was purchased from the Lou Company for $750,000 on January 1, 2019. Janes estimated the remaining useful life of the patent to be 10 years. The patent was carried on Lou’s accounting records at a net book value of $360,000 when Lou sold it to Janes. B) During 2021, a franchise was purchased from the Rink Company for $510,000. The contractual life of the franchise is 10 years...

Asplund Corporation has provided the following information:

Asplund Corporation has provided the following information: Cost per Unit Cost per Period Direct materials $ 6.25 Direct labor $ 2.90 Variable manufacturing overhead $ 1.30 Fixed manufacturing overhead $ 18,000 Sales commissions $ 1.50 Variable administrative expense $ 0.45 Fixed selling and administrative expense $ 7,500 Required: a. For financial reporting purposes, what is the total amount of product costs incurred to make 5,000 units? b. For financial reporting purposes,...