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ROUND 5 ACCOUNTANT YARN?

Total questions: 10

Worksheet time: 9mins

Name
Class
Date
1.

1.      Mr. A, a sole-proprietor has the following: Premises P55,000 Cash in Bank 6,500 Inventory 12,500 Creditors 5,000 What is the amount of capital?

a)

31,000

b)

10,500

c)

35,000

d)

69,000

2.

1.      Which is not considered a book of original entry?

a)

General Journal

b)

General Ledger

c)

Sales Journal

d)

Purchases Journal

3.

1.      On September 1, 2015, Pine Company issued a note payable to National Bank in the amount of P1,800,000, bearing interest at 12% and payable in three equal annual principal payments of P600,000. On this date, the bank prime rate was 11%. The first interest and principal payment was made on September 1, 2016. On December 31, 2016, what should be reported as accrued interest payable?

a)

44,000

b)

48,000

c)

66,000

d)

72,000

4.

1.      : Which is false concerning the rules of debit and credit?

a)

The left side of an account is always the debit side and the right side is always the credit side.

b)

The word debit means to increase and the word credit means to decrease.

c)

Increases in assets and expense are debit entries and increases in liabilities, equity and revenue are credit entries.

d)

The normal balance of any account appears on the side for recording increases.

5.

1.      The closing entries

a)

Must debit or credit one income statement account and one statement of balanced sheet account

b)

Are posted to the appropriate general ledger accounts

c)

Include closing the dividends account to income summary

d)

All of the above

6.

1.       Mr. CJ Yting, the proprietor of the business, has a total assets of ₱345,400 and owner’s equity of ₱144,500. How much is the total liabilities?

a)

₱345,400 

b)

₱489,900

c)

₱200,900

d)

₱144,500

7.

1.       The following information is available from Dell Company’s accounting records for the current year:

 

Purchases

₱5,300,000

Purchase discounts

100,000

Purchase returns and allowances

75,000

Beginning inventory

1,600,000

Ending inventory

2,225,000

Freight in

150,000

Freight out

400,000

 

Dell’s cost of goods sold for the current year is

a)

₱4,650,000  

b)

₱5,050,000   

c)

₱4,750,000

d)

₱5,850,000

8.

1.       The following account balances were taken from Panramona Bakeshop for the quarter ending December 31, 2019:

 

Inventories

 

October 1

December 31

Raw materials

₱120,000

₱105,000

Work in process

  250,000

  275,000

Finished goods

  170,000

  290,000

 

Purchases – raw materials

₱110,000

Freight-in

5,000

Direct labor

308,000

Indirect labor

45,000

Indirect materials

65,000

Amortization of trademark

50,000

Rent expense – factory

25,000

Depreciation – factory

40,000

Depreciation – office

48,000

 

How much is cost of goods sold?

a)

₱518,000       

b)

₱525,000      

c)

₱540,000

d)

₱550,000

9.

1.       Which statement is not true concerning the Conceptual Framework?

a)

The Conceptual Framework should be a basis for standard setting.

b)

The Conceptual Framework should allow practical problems to be solved more quickly.

c)

The Conceptual Framework should be based on fundamental truth derived from the law of nature.

d)

The Conceptual Framework should increase users’ understanding and confidence in financial reporting.

10.

1.      Which of the following has a normal credit balance?

a)

Loans to partners

b)

Partner’s Capital

c)

Partner’s Drawing

d)

Due from partner