ABM CUP Difficult

The following accounts were taken from the Adjusted Trial Balance columns of the worksheet:

Accumulated Depreciation P 3,000

Fees Earned 20,000

Depreciation Expense 3,500

Insurance Expense 1,000

Prepaid Rent 4,000

Supplies 500

Net income for the period is:

• 15,500

• 8,000

• 15,000

• 11,000

The following accounts were taken from the Adjusted Trial Balance columns of the work sheet:

Accumulated Depreciation P 6,000

Fees Earned 25,000

Depreciation Expense 1,500

Insurance Expense 1,000

Prepaid Insurance 4,000

Supplies 500

Supplies Expenses 4,500

 

Net income for the period is:

• 18,000

• 7,500

• 8,000

• 19,000

After all of the account balances have been extended to the Balance Sheet columns of the work sheet, the totals of the Debit and Credit columns are P39,750 and P21,750, respectively. What is the amount of net income or net

loss for the period?

• 18,000 net income

• 18,000 net loss

• 39,750 net income

• 21,750 net loss

After all of the account balances have been extended to the Income Statement columns of the work sheet, the totals of the debit and credit columns are P89,900 and P67,600, respectively. What is the amount of the net income or net loss for the period?

• 22,3000 net loss

• 22,300 net income

• 89,900 net income

• 67,900 net loss

If assets increase by P100,000 and Liabilities increase by P30,000, owner’s equity must:

• Remained unchanged

• Increase by 130,000

• Increase by 70,000

• Decreased by 130,000

The ending balance of the accounts receivable account was P180,000. Services billed to customers for the period were P270, 000 and collections on account from customers were P268, 000. What was the beginning balance of accounts receivable?

• P178,000

• P182,000

• P219,000

• P358,000

A supplier offers the following discounts: Trade discounts of 10% at list price and another cash discount of 5% if paid in full before the due date. How much is to be paid if a customer pays before due date at a list price of P16,000?

• P13,680

• P15,520

• P14,000

• P16,000

After all of the account balances have been extended to the Income Statement columns of the work sheet, the totals of the debit and credit columns are P92,300 and P67,600, respectively. What is the amount of the net income or net loss for the period?

• P24,700 net income

• P24,700 net loss

• P92,300 net income

• P92,300 net loss

Under the double-entry system, what is the value of X if assets, current liabilities, non-current liabilities and capital are X, P40,000, P60,000 and P350,000 respectively?

• P250,000

• P350,000

• P370,000

• P450,000

Suppose a debtor repays his debt of P50,000 by transferring the money into the bank account of the business. The effect of the transaction on the accounting equation would be:

• Both assets and liabilities increase by P50,000.

• Both assets and liabilities decrease by P50,000.

• Only assets decrease by P50,000.

• Assets and liabilities remain unchanged.