QUESTION: Mr. Steven is a retailer whose accounting year ends on 30 June 2006. He has extracted a Trial Balance, before producing his final accounts and the following are some of the balance included in that Trial Balance: Dr ($) Cr ($) Purchase Ledger Control Account 22,975 Insurance 486 Motor Vehicles at [...]
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QUESTION:Johnson & Co, a building and construction firm, commenced trading on 1 January Year 6. During the three years to 31 December Year 8, the company bought and sold motor vehicles for use in the business as follows: Date Registration No Cost ($) Date Of Disposal Disposal Proceeds ($) 1 Feb Yr 6 E762 12,000 [...]
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QUESTION: Company XYZ uses the allowance method for its uncollectible accounts receivable. During the year, a monthly bad debt accrual is made by applying 2% times the amount of credit sales for the month. At the year end Dec 31st, an ageing of accounts receivable is prepared and the allowance for uncollectible accounts is adjusted [...]
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QUESTION NO.1: In early August 06, Company A received a bank statement which showed a balance of $55,262 as at 31 th July ’06. However, its own record showed a balance of $55,597 on the same date. The following differences are identified: (i) Deposits amounted to $1,300 was not in the bank statement; (ii) Two checks were [...]
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Answer to Accounting Test Question No. 1: 1-D ; 2-D; 3-B; 4-D; 5-A; 6-C; 7-A; 8-C; 9-B; 10- C 11-D; 12-B; 13-D; 14-A; 15- A. Answer to Accounting Test Question No.2: 1. FALSE; 2. TRUE; 3. FALSE; 4. FALSE; 5. FALSE; 6. FALSE; 7. TRUE 8. TRUE; 9. FALSE; 10.TRUE; 11.TRUE; 12. TRUE; 13 [...]
Accounting Test Question No 1:PLEASE INDICATE THE CORRECT ANSWER: 1. The accounting process involves all of the following EXCEPT: a. Analyzing and interpreting financial reports b. Communicating financial information to users by preparing financial reports c. Identifying economic transactions that are relevant to the business d. Recording non-transaction economic events. e. Recording transaction [...]
The Cash Book Of Jim Co. showed a Bank Overdraft at 31 Jan 2007 of $1,800 When you checked the Bank Statement as at that date with the Cash Book , you discovered the following: (a) the following items appearing in the Cash Book do not appear in the Bank Statement:- Jan 16 Cheque No [...]
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On 30 April 2007, the Cash Book Of Jim showed a balance at bank amount to $812 You found that: (a) a cheque for $360 received by Jim and entered in his Cash Book on 30 April 2007 was not credIted by the bank until 3 May 2007 (b) Cheques issued by Jim on 27 [...]
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The below question is testing the candidate on the understanding on the recording process. You are required to understand the debit and credit rules, how to journalize and post to 3 column ledger as well as on the preparation of a trial balance . Mr X opened X Company which engaged in consultancy business. Append [...]
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Accounting Test Question No.3 In Tim’s book, the following June 2007 are recorded. You are required to extract a Trial Balance as at 30 June 2007. June 2. Started business with $600 in the bank 3. Bought $500 goods on credit from Supplier A 4. Credit sales : X-$20 Y-$80 Z-$100 5. Cash Sales $250 [...]
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