Download رقم الطالب في كشف الحضور:....... دراسات محاسبية باللغة الإنجليزية عدد

‫دراسات محاسبية باللغة اإلنجليزية‬
Accounting studies in English
ACCT 4333
: ‫رقم المساق‬
‫ ساعتـــــان فقط‬: ‫مدة االمتحان‬
9:00 - 11:00
22 May 2012
: ‫وقت االمتحان‬
: ‫تاريخ االمتحان‬
.......:‫رقم الطالب في كشف الحضور‬
4 : ‫عدد صفحات االمتحان‬
...................:‫االسم باللغة العربية‬
....................…..........:‫الرقم الجامعي‬
‫االمتحان النهائي للفصل الثاني‬
2012 /2011
…………………… :‫رقم الشعبة‬
‫ ناهـض نمر محمـد الخـالـدي‬.‫د‬
Question One : Mark True ( T ) or False ( F ) for the following sentences as appropriate ?
Question one
(33 Marks )
‫إجابة الســـؤال األول‬
No.
1 2 3
4
5 6 7 8 9 10 11 12 13 14 15
T F F TX X X F X F TF X
TF
Answer
X
T
T
No.
Answer
1. T
2. F
3. F
4. T
5. T
6. T
7. F
8. T
9. F
10. F
11. T 12. T 13. T 14. T
15. F
16. T 17. T 18. F 19. T
20. F
21. F a22. T a23. T a24. F a25. F
26. T 27. T 28. T 29. T
30. T
31. T a32. F a33. T
16
X
17
T
1. Transactions that affect inventories on hand have an effect on both the balance sheet and the income statement.
2. The more inventory a company has in stock, the greater the company's profit.
3. Raw materials inventories are the goods that a manufacturer has completed and are ready to be sold to
customers.
4. Goods that have been purchased FOB destination but are in transit, should be excluded from a physical count of
goods.
5. Goods out on consignment should be included in the inventory of the consignor.
6. The specific identification method of costing inventories tracks the actual physical flow of the goods available
for sale.
7. Management may choose any inventory costing method it desires as long as the cost flow assumption chosen is
consistent with the physical movement of goods in the company.
8. The first-in, first-out (FIFO) inventory method results in an ending inventory valued at the most recent cost.
9. The matching principle requires that the cost of goods sold be matched against the ending merchandise
inventory in order to determine income.
10. The specific identification method of inventory valuation is desirable when a company sells a large number of
low-unit cost items.
11. If a company has no beginning inventory and the unit cost of inventory items does not change during the year,
the value assigned to the ending inventory will be the same under LIFO and average cost flow assumptions.
12. If the unit price of inventory is increasing during a period, a company using the LIFO inventory method will
show less gross profit for the period, than if it had used the FIFO inventory method.
13. If a company has no beginning inventory and the unit price of inventory is increasing during a period, the cost
of goods available for sale during the period will be the same under the LIFO and FIFO inventory methods.
14. A company may use more than one inventory costing method concurrently.
15. Use of the LIFO inventory valuation method enables a company to report paper or phantom profits.
16. If a company changes its inventory valuation method, the effect of the change on net income should be
disclosed in the financial statements.
17. Under the lower-of-cost-or-market basis, market is defined as current replacement cost.
18. Accountants believe that the write down from cost to market should not be made in the period in which the
price decline occurs.
19. An error that overstates the ending inventory will also cause net income for the period to be overstated.
20. If inventories are valued using the LIFO cost assumption, they should not be classified as a current asset on the
balance sheet.
21. Inventory turnover is calculated as cost of goods sold divided by ending inventory.
a22. If a company uses the FIFO cost assumption, the cost of goods sold for the period will be the same under a
perpetual or periodic inventory system.
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23. In applying the LIFO assumption in a perpetual inventory system, the cost of the units most recently purchased
prior to sale is allocated first to the units sold.
24. Under generally accepted accounting principles, management has the choice of physically counting inventory
on hand at the end of the year or using the gross profit method to estimate the ending inventory.
25. The retail inventory method requires a company to value its inventory on the balance sheet at retail prices.
Additional True-False Questions
26. Finished goods are a classification of inventory for a manufacturer that are completed and ready for sale.
27. Under the FIFO method, the costs of the earliest units purchased are the first charged to cost of goods sold.
28. The pool of inventory costs consists of the beginning inventory plus the cost of goods purchased.
29. In a period of falling prices, the LIFO method results in a lower cost of goods sold than the FIFO method.
30. The lower-of-cost-or-market basis is an example of the accounting concept of conservatism.
31. Inventories are reported in the current assets section of the balance sheet immediately below receivables.
32. In a perpetual inventory system, the cost of goods sold under the FIFO method is based on the cost of the latest
goods on hand during the period.
33. The gross profit method is based on the assumption that the rate of gross profit remains constant from one year
to the next.
Question Two : Each Multiple – Choice question has four suggested answers, letter (A), (B), (C), or (D). You
should read each question and then decide which choice is best.
(20 Marks )
1. If beginning inventory is $60,000, cost of goods purchased is $380,000, and ending inventory is
$50,000, cost of goods sold is:
A.$390,000
B.$370,000
C.$330,000
D.$420,000
2. Jafa Company on June 15 sells merchandise on account to Gaza Co. for $1,000, terms 2/10, n/30. On
June 20, Gaza Co. returns merchandise worth $300 to Jafa Company. On June 24, payment is
received from Jafa Co. for the balance due. What is the amount of cash received?
A. $700
B. $686.
C. $680
D. None of the above.
The income statement for the month of June, 2008 of Delgado Enterprises contains the following
information:
Revenues
$7,000
Expenses:
Wages Expense
$2,000
Rent Expense
1,000
Supplies Expense
300
Advertising Expense
200
Insurance Expense
100
Total expenses
3,600
Net income
$3,400
3. The entry to close the revenue account includes a
a. debit to Income Summary for $3,400.
b. credit to Income Summary for $3,400.
c. debit to Income Summary for $7,000.
d. credit to Income Summary for $7,000.
4. The entry to close the expense accounts includes a
a. debit to Income Summary for $3,400.
b. credit to Rent Expense for $1,000,
c. credit to Income Summary for $3,600.
d. debit to Wages Expense for $2,000.
5. After the revenue and expense accounts have been closed, the balance in Income Summary will be
a. $0.
b. a debit balance of $3,400.
c. a credit balance of $3,400.
d. a credit balance of $7,000.
6. The entry to close Income Summary to Delgado, Capital includes
a. a debit to Revenue for $7,000.
b. credits to Expenses totalling $3,600.
c. a credit to Income Summary for $3,400
d. a credit to Delgado, Capital for $3,400.
7. At June 1, 2008, Delgado reported owner’s equity of $35,000. The company had no owner drawings
during June. At June 30, 2008, the company will report owner’s equity of
a. $35,000.
b. $42,000.
c. $38,400.
d. $31,600.
Use the following information for questions 8–14
The income statement for the year 2008 of Nova Co. contains the following information:
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Revenues
$70,000
Expenses:
Wages Expense
$45,000
Rent Expense
12,000
Advertising Expense
6,000
Supplies Expense
6,000
Utilities Expense
2,500
Insurance Expense
2,000
Total expenses
73,500
Net income (loss)
$(3,500)
8. The entry to close the revenue account includes a
a. debit to Income Summary for $3,500.
b. credit to Income Summary for $3,500.
c. debit to Revenues for $70,000.
d. credit to Revenues for $70,000.
9. The entry to close the expense accounts includes a
a. debit to Income Summary for $3,500.
b. credit to Income Summary for $3,500.
c. debit to Income Summary for $73,500.
d. debit to Wages Expense for $2,500.
10. After the revenue and expense accounts have been closed, the balance in Income Summary will be
a. $0.
b. a debit balance of $3,500.
c. a credit balance of $3,500.
d. a credit balance of $70,000.
11. The entry to close Income Summary to Nova, Capital includes
a. a debit to Revenue for $70,000.
b. credits to Expenses totaling $73,500.
c. a credit to Income Summary for $3,500.
d. a credit to Nova, Capital for $3,500.
12. At January 1, 2008, Nova reported owner’s equity of $50,000. Owner drawings for the year totaled
$10,000. At December 31, 2008, the company will report owner’s equity of
a. $13,500.
b. $36,500.
c. $40,000.
d. $43,500.
13. After all closing entries have been posted, the Income Summary account will have a balance of
a. $0.
b. $3,500 debit.
c.
$3,500 credit.
d. $36,500 credit.
14. After all closing entries have been posted, the revenue account will have a balance of
a. $0.
b. $70,000 credit.
c. $70,000 debit.
d. $3,500 credit.
15. If errors occur in the recording process, they
a. should be corrected as adjustments at the end of the period.
b. should be corrected as soon as they are discovered.
c. should be corrected when preparing closing entries.
d. cannot be corrected until the next accounting period.
16. Correcting entries are made
a. at the beginning of an accounting period.
b. at the end of an accounting period.
c. whenever an error is discovered.
d. after closing entries.
17. Which of the following is an optional step in the accounting cycle?
a. Adjusting entries
b. Closing entries
c. Correcting entries
d. Reversing entries
18. All of the following are property, plant, and equipment except
a. supplies.
b. machinery.
c. land.
d. buildings.
19. The first item listed under current liabilities is usually
a. accounts payable.
b. notes payable.
c. salaries payable.
d. taxes payable.
20. The final step in the accounting cycle is to prepare
a. closing entries.
b. financial statements.
c. a post-closing trial balance.
d. adjusting entries.
Question
Answer
1
a
2
b
3
d
4
b
5
C
6
d
7
C
8
c
9
b
10
c
11
b
12
a
13
A
14
a
15
B
16
c
17
d
18
A
19
B
20
c
Question Three : Answer each of the following :
(20 Marks )
1. Prepare the necessary correcting entry for each of the following.
4‫ من‬3 ‫صفحة‬
a. A payment on account of $500 was debited to Accounts Payable $550 and credited to Cash $550.
Cash ................................................................................................ 50
Accounts Payable................................................................ 50
b. The collection of Accounts Receivable of $660 was recorded as a debit to Cash $660 and a credit to
Service Revenue $660.
Service Revenue ...................................................................... 660
Accounts Receivable ........................................................... 660
c. A payment of $5,000 for salaries was recorded as a debit to Supplies Expense and a credit to
Cash.
Salaries Expense ............................................................................ 5,000
Supplies Expense...................................................................
5,000
d. A purchase of supplies on account for $1,000 was recorded as a debit to Equipment and a
credit to Accounts Payable.
Supplies........................................................................................... 1,000
Equipment
.............................................................................. 1,000
2. Indicate the proper sequence of the steps in the accounting cycle by placing numbers 1-8 in
the blank spaces.
____ a. Analyze business transactions.
____ b. Journalize and post adjusting entries.
____ c. Journalize and post closing entries.
____ d. Journalize the transactions.
____ e. Prepare a post-closing trial balance.
____ f. Prepare a worksheet.
____ g. Prepare financial statements.
____ h. Post to ledger accounts.
A
B
C
D
E
F
G
H
1
6
7
2
8
4
5
3
3. For each of the following, determine the missing amounts.
Beginning
Goods Available
Cost of
Ending
Inventory
Purchases
for Sale
Goods Sold
Inventory
1. $20,000
________
$ 40,000
$25,000
_______
2. _______
$220,000
$250,000
_______
$40,000
Solution
1. Purchases $20,000 ($40,000 – $20,000),
Ending inventory $15,000 ($40,000 – $25,000)
2. Beginning inventory $30,000 ($250,000 – $220,000), Cost of Goods Sold $210,000 ($250,000 – $40,000)
4. Match the items below by entering the appropriate code letter in the space provided.
A. Net Sales F. FOB shipping point
B. Sales discounts G. Freight-out
C. Purchase invoice H. Gross profit
D. Periodic inventory system I. Selling expenses
E. FOB destination J. Income from operations
____ 1. An incentive to encourage customers to pay their accounts early.
____ 2. Expenses associated with making sales.
____ 3. Freight terms that require the seller to pay the freight cost.
____ 4. Sales less sales returns and allowances and sales discounts.
____ 5. A document that supports each credit purchase.
____ 6. Net sales less cost of goods sold.
____ 7. Freight cost to deliver goods to customers reported as a selling expense.
____ 8. Requires a physical count of goods on hand to compute cost of goods sold.
____ 9. Gross profit less total operating expenses.
____ 10. Freight terms that require the buyer to pay the freight cost.
Q
1
2
3
4
5
6
7
8
9
10
Answer
b
I
e
A
c
H
g
d
J
F
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