F3 QUIZ - SOK CHEA

1.       Which of the following statements best defines a statement of financial position?

• A It is a summary of income and expenditure for an accounting period.

• B It is a summary of cash receipts and payments made during an accounting period.

• C It is a summary of assets, liabilities and equity at a specified date

• D It is a summary of income and expenditure for an accounting period

2.       Which of the following can the accounting equation can be rewritten as?

• A Assets + Profit – Drawings – Liabilities = Closing Capital

• B Assets – Liabilities – Drawings = Opening Capital + Profit

• C Assets – Liabilities – Opening Capital + Drawings = Profit

• D Assets – Profit – Drawings = Closing Capital – Liabilities

3.       A business sells $ 100 worth of goods to a customer who pays $50 in cash and pay the remaining in 30 days. What is the double entry to record?

• A. Debit cash $50, Credit Payable $50, Credit Purchase $50

• B. Debit Receivable $50, Debit Cash $50, Credit Sales $100

• C. Debit Purchase $100, Debit Payable $100

• D. Debit Purchase $100, Credit Cash $100

 4.       An item of inventory was purchased for $500. It is expected to be sold for $1200 although $250 will need to be spent on it in order to achieve the sale. To replace the same item of inventory would cost $650. At what value should this item of inventory be included in the financial statements?

5. When accounting for intangible assets using the revaluation model, movements in the carrying amount are Accounted for in other comprehensive income and other components of equity.

• True

• False