wayground logo

Free Printable Worksheets

NEW

Font size

S
M
L
XL
Worksheets

AFAR

Total questions: 70

Worksheet time: 6hrs 50mins

Name
Class
Date
1.

What is the amount of overhead applied to Department A?

a)

3,360,000

b)

5,950,000

c)

5,025,000

d)

3,730,000

2.

What is the amount of overhead applied to Department B?

a)

5,220,000

b)

4,480,000

c)

5,466,667

d)

6,700,000

3.

What is the joint cost allocated to Product A? (Round allocation ratio to the nearest percentage ex. .71545 = 72%)

a)

25,500

b)

54,060

c)

32,640

d)

28,560

4.

What is the joint cost allocated to Product B? (Round allocation ratio to the nearest percentage ex. .71545 = 72%)

a)

69,360

b)

76,500

c)

47,940

d)

73,440

5.

What is the approximated/estimated net realizable value of Product B at the split-off point?

a)

1,360,000

b)

931,200

c)

1,344,000

d)

952,000

6.

What is the estimated deficiency?

a)

15,000

b)

25,000

c)

10,000

d)

5,000

7.

What is the amount received by the holder of the accounts payable?

a)

60,000

b)

75,000

c)

50,000

d)

65,000

8.

What is the estimated market value of the inventories?

a)

350,000

b)

200,000

c)

450,000

d)

150,000

9.

What is the cost of goods manufactured at the end of the year?

a)

195,492

b)

180,900

c)

143,700

d)

180,912

10.

What is the cost of goods manufactured for Job 03?

a)

105,300

b)

43,020

c)

47,172

d)

103,300

11.

What is the cost of goods manufactured for Job 04?

a)

47,172

b)

40,920

c)

42,300

d)

43,020

12.

What is the cost of goods manufactured for Job 05?

a)

8,340

b)

57,600

c)

34,680

d)

105,300

13.

Assuming Job 06 was also completed, what is the cost of goods manufactured of Job 06?

a)

6,252

b)

20,580

c)

40,920

d)

16,680

14.

What is the proper period for recording direct labor rate variance?

a)

At the time of payment of salaries to factory workers

b)

At the time of hiring of factory workers

c)

At the time of rendition of services by factory workers

d)

At the time of termination of employment of factory workers

15.

What is the net income of the agency for the two months ended November 30, 2020?

a)

17,431

b)

28,366

c)

29,875

d)

26,866

16.

By what amount did the Allowance for Overvaluation before adjustment increased during the year?

a)

336,000

b)

756,000

c)

462,000

d)

420,000

17.

In the books of the home office, what is the amount of adjustment to Income Summary –

Branch account at the end of the year?

a)

2,331,000

b)

510,996

c)

294,000

d)

462,000

18.

Before closing, the Home Office Current account in the separate books of the branch is understated by what amount?

a)

2,793,000

b)

462,000

c)

336,000

d)

2,331,000

19.

What is the unadjusted balance of Home Office Current account in the books of Makati branch?

a)

52,150

b)

87,200

c)

107,250

d)

92,950

20.

What is the unadjusted balance of Home Office Current account in the books of Pasig branch?

a)

236,250

b)

122,000

c)

115,150

d)

84,850

21.

How shall expenses of a nonprofit organization be presented in its statement of activities?

a)

Addition to temporarily restricted net assets

b)

Addition to permanently restricted net assets

c)

Deduction from permanently restricted net assets

d)

Deduction from unrestricted net assets

22.

What is the cash account to be used by national government agencies for cash payments?

a)

Cash modified disbursements system (MDS) regular

b)

Cash treasury agency (TA) deposit regular

c)

Cash in bank – Land Bank of the Philippines

d)

Cash on hand

23.

What is the excess of construction in progress over progress billings (excess of progress billings over construction in progress) on December 31, 2018?

a)

8.75M

b)

19.25M

c)

14M

d)

10.5M

24.

What is the realized gross profit (loss) for the year ended December 31, 2019?

a)

(87.5M)

b)

(52.5M)

c)

(70M)

d)

(17.5M)

25.

What is the amount of construction cost presented in the Statement of Comprehensive Income in 2019?

a)

122.5M

b)

105M

c)

140M

d)

245M

26.

What is the amount of account receivable to be reported by MDC on December 31, 2020?

a)

33.25M

b)

49M

c)

43.75M

d)

31.5M

27.

Under PFRS 10, which financial statements must be presented by a parent corporation?

a)

Separate financial statements

b)

Combined financial statements

c)

Consolidated financial statements

d)

Condensed financial statements

28.

Under PFRS 10, which of the following is not an essential element of control?

a)

Power

b)

Ability

c)

Exposure or Right

d)

Ownership of majority of voting stocks

29.

Under IFRS 15, what is the amount of Sales Revenue to be credited by Tea-Account Inc. on December 31, 2020?

a)

55,603

b)

162,175

c)

83,404

d)

69,504

30.

Under IFRS 15, what is the amount of Service Revenue to be credited by Tea-Account Inc. on

December 31, 2020?

a)

162,175

b)

217,778

c)

228,978

d)

287,282

31.

Which of the following costs incurred by the acquirer in relation to business combination shall be expensed as incurred?

a)

Bond issue costs of financial liability at amortized cost

b)

Direct costs of business combination

c)

Stock issuance costs

d)

Contingent consideration

32.

Which of the following statements regarding the transactions above is TRUE?

a)

XYZ will debit an expense account upon remittance to QRS.

b)

QRS will debit a liability account upon receipt of the remittance from XYZ.

c)

XYZ will prepare a memo entry for the P37,500 freight.

d)

QRS will credit an asset account in the amount of P159,000 upon receiving the sales report.

33.

Under PFRS 15, when shall an entity recognize its revenue from contract with customers?

a)

When an entity enters into a contract with its customers

b)

When an entity receives the consideration from its customers

c)

When an entity satisfies its performance obligation to its customers

d)

When an entity transfers the risk and rewards of ownership of the goods or services to its customers

34.

When will the equivalent unit of production of direct materials under FIFO Process Costing be always equal to Average Process Costing?

a)

When all direct materials are added at the start of production process

b)

When all direct materials are added at the end of production process

c)

When all direct materials are added at the middle of production process

d)

When direct materials are added uniformly throughout the production process

35.
a)

200,000

b)

300,000

c)

400,000

d)

0

36.

What is the investment loss to be reported by Entity A in relation to the joint venture for the year ended December 31, 2022?

a)

(5,000,000)

b)

(6,000,000)

c)

(5,400,000)

d)

(5,500,000)

37.

What is the investment income to be reported by Entity B in relation to the joint venture for the year ended December 31, 2023?

a)

3,000,000

b)

2,400,000

c)

1,500,000

d)

900,000

38.

Which of the following claims shall be preferred in the liquidation of general partnership?

a)

Just and equitable share of industrial partner in partnership profit

b)

Proportionate share of capitalist partners in partnership profit

c)

Advances to partnership by managing partner

d)

Capital contribution of controlling partner

39.

Which of the following claims during corporate liquidation shall be settled last?

a)

Book value per share of ordinary shareholders

b)

Liquidation value per share of preferred stockholders

c)

Redemption value of redeemable preferred shareholders

d)

Claims of unsecured creditors without priority

40.
a)

160,000

b)

200,000

c)

150,000

d)

210,000

41.

If the entity is translating from foreign currency to functional currency, what is the amount of total assets to be presented by the entity at the end of reporting period?

a)

60,000,000

b)

80,000,000

c)

65,000,000

d)

75,000,000

42.

Assuming the entity is translating from functional currency to its presentation currency, what is the amount of total assets to be presented by the entity at the end of reporting period?

a)

60,000,000

b)

80,000,000

c)

65,000,000

d)

75,000,000

43.

Under Equity Method, what is the book value of Investment in Entity S to be reported by Entity P on its December 31, 2021 Statement of Financial Position?

a)

7,105,000

b)

7,000,000

c)

7,175,000

d)

7,070,000

44.

If Entity P uses Cost Method, what is the income to be reported by Entity P in relation to its investment in Entity S in its separate income statement for the year ended December 31, 2021?

a)

70,000

b)

140,000

c)

175,000

d)

75,000

45.

Which of the following costs shall be classified as conversion costs?

a)

Direct labor costs and direct material costs

b)

Direct labor costs and factory overhead costs

c)

Direct material costs and factory overhead costs

d)

Direct material costs, direct labor costs and factory overhead costs

46.

What is the consolidated depreciation expense on the said equipment that will be reported by Entity P for the year ended December 31, 2021?

a)

30,000

b)

15,000

c)

10,000

d)

13,500

47.

What is the consolidated gain (loss) on sale of equipment to be reported by Entity for the year ended December 31, 2021?

a)

(35,000)

b)

10,000

c)

(8,000)

d)

15,000

48.

What is the proper classification of infrastructure asset if the concession operator has right or license to charge users of the infrastructure asset over a specific period but it does not have guaranteed right to receive cash from the grantor?

a)

Property, plant and equipment

b)

Investment property

c)

Intangible asset

d)

Financial asset

49.

What is the accounting method to be used by an acquirer to treat each business combination?

a)

Equity Method

b)

Acquisition Method

c)

Cost Method

d)

Fair Value Method

50.
a)

500,000

b)

400,000

c)

300,000

d)

100,000

51.

Which of the following transactions will increase the capital balance of a partner?

a)

Share in other comprehensive loss of the partnership

b)

Share in profit of the partnership

c)

Drawing made during the period

d)

Share in impairment loss arising from admission of a new partner

52.

What is the foreign currency gain or (loss) to be reported by the entity for the year ended December 31, 2022?

a)

(5,000) loss

b)

6,000 gain

c)

(4,000) loss

d)

2,000 gain

53.

What is the book value of accounts payable to be reported by the entity on December 31, 2021?

a)

59,000

b)

55,000

c)

50,000

d)

52,000

54.

When translating an entity’s financial statements from its functional currency to its presentation currency, what is the exchange rate to be used to translate income or expense accounts?

a)

Closing rate

b)

Average rate

c)

Transaction rate

d)

Rate at the end of reporting period

55.

In which method of accounting of investment in subsidiary in the separate financial statements of parent corporation will the dividend income from subsidiary not appear?

a)

Equity method

b)

Cost method

c)

FAFVPL

d)

FAFVOCI

56.
a)

41,000

b)

44,250

c)

41,167

d)

47,500

57.

Which of the following transactions will result to debit to investment in branch account?

a)

Reporting net loss of the branch

b)

Collection by the branch of home office’s receivable

c)

Return by the branch to the home office of shipped inventory

d)

Payment by the home office of its own liability

58.

In which of the following contract shall the resulting revenue be recognized over a period of time?

a)

Long-term construction contract

b)

Consignment sale contract

c)

Sale or return arrangement

d)

Installment sale contract

59.
a)

335,000

b)

375,000

c)

410,000

d)

435,000

60.

Which of the following statements is true?

a)

Contributed services and facilities are recognized both as asset and contributions revenue, net of expense.

b)

Financial statements of not for profit organization, focuses on distinctions between current and non-current fund.

c)

Unconditional pledges are recognized as receivables and contributions revenue when collected.

d)

The required financial statements for nonprofit organizations include: statement of financial position, statement of cash flows, statement of activities and specifically for Voluntary Health and Welfare Organizations – Statement of Functional Expenses.

61.

Where shall foreign currency gain or loss arising from translating foreign currency denominated elements of financial statements to entity’s functional currency be presented?

a)

Income from Continuing Operation of Profit or Loss Section of Statement of Comprehensive Income

b)

Income from Continuing Operation of Profit or Loss Section of Statement of Comprehensive Income

c)

Other Comprehensive Income with Reclassification Adjustment Section of Statement of Comprehensive Income

d)

Other Comprehensive Income without Reclassification Adjustment Section of Statement of Comprehensive Income

62.
a)

261,667

b)

128,333

c)

390,000

d)

305,000

63.
a)

321,155

b)

364,286

c)

450,000

d)

375,000

64.
a)

211,165.50

b)

70,000

c)

632,642.50

d)

633,762.50

65.

Max decided to withdraw from his partnership with Fried and Chic. Before his withdrawal, Max’ capital balance was P58,000, while Fried’s was P64,000 and Chic’s was P77,000. Also, the partnership’s total assets amounted to P450,000, but the partners agreed that a fixed asset was under depreciated by P15,000. Max, Fried and Chic share profits and losses in the ration of 2:4:4, respectively.

If Max was paid P53,200 upon his retirement, how much is the remaining partnership net assets after Max’ withdrawal?

a)

182,800

b)

197,800

c)

130,800

d)

160,800

66.
a)

40,400

b)

24,750

c)

36,000

d)

33,000

67.
a)

120,000; 120,000; 120,000

b)

126,000; 114,000; 120,000

c)

126,668; 113,322; 120,000

d)

140,000; 120,000; 100,000

68.

What is the proper classification of Joint Arrangement when the parties exercising joint control over arrangement has rights to the net assets of the said arrangement?

a)

Joint operation

b)

Jointly controlled asset

c)

Joint venture

d)

Jointly controlled operation

69.

During 2020, Agency ABC transferred cash of P300,000 to Agency QRS for a land beautification project. Subsequently, Agency ABC received a report from Agency QRS about the project. What is the journal entry of Agency ABC to record the transfer of funds?

a)

Debit Due from ABC P300,000 and Credit Cash, MDS, Regular P300,000.

b)

Debit Cash-Treasury/Agency Deposit/Trust P300,000 and Credit Cash-Collecting Officers P300,000.

c)

Debit Cash Collecting Officers P300,000 and Credit Due to ABC P300,000

d)

Debit Cash-Treasury/Agency Deposit/Trust P300,000 and Credit Cash-Collecting Officers P300,000

70.

An entity spent P5,600,000 (inclusive of VAT) in acquiring its new software package from outside party at the beginning of the year. Such software shall be installed and used to speed up processing the entity’s operations. The useful life of the software is determined to be 10 years and no residual value was assigned to it.

What is the journal entry to record the purchase of a software package?

a)

dr. Computer Software 5,600,000

cr. Cash-MDS, Regular 5,600,000

b)

dr. Computer Software 5,600,000

cr. Cash Disbursing Officer 5,250,000

cr. Due to BIR 350,000

c)

dr. Computer Software 5,600,000

cr. Cash-Treasury/Agency Deposit 5,000,000

cr. Due to BIR 600,000

d)

dr. Computer Software 5,600,000

cr. Cash-MDS, regular 5,250,000

cr. Due to BIR 350,000