:‫نموذج رقم‬
.......:‫رقم الطالب في كشف الحضور‬
Accounting studies in English
4 : ‫عدد صفحات‬
ACCT 4333
: ‫رقم المساق‬
...............................:‫االسم بالعربية‬
‫ ساعـــــة واحـــدة فقط‬: ‫مدة االمتحان‬
……………./ ..........:‫الرقم الجامعي‬
‫الثاني‬
‫للفصل‬
‫صفي‬
‫الن‬
‫االمتحان‬
4:00 - 3:00
: ‫وقت االمتحان‬
:‫رقم الشعبة‬
2012/2011
2 April 2012
: ‫تاريخ االمتحان‬
‫ ناهـض نمر محمـد الخـالـدي‬/ ‫دكـتور‬
Do not write anything in the first table:
‫من فضلك ال تكتب شيئا ً في هذا الجدول‬
Question Question Question Question
Question Question Total
Number
One
Two
Three
Four
Five
Result
5 / ……... 4 /……… 4 /…….. 2/………. 5/ ……
20/….
Answer the following Questions:
Question 1 : each Multiple – Choice question has four suggested answers, You should read each
question and then decide which choice is best :
(5 Marks)
1. Performing services on account will have the following effects on the components of the basic
accounting equation:
a. increase assets and decrease owner’s equity.
b. increase assets and increase owner’s equity.
c. increase assets and increase liabilities.
d. increase liabilities and increase owner’s equity.
2. As of December 31, 2008, Stoneland Company has assets of $3,500 and owner’s equity of
$2,000.What are the liabilities
for Stoneland Company as of December 31, 2008?
a. $1,500.
b. $1,000.
c. $2,500.
d. $2,000.
3. On the last day of the period, Jim Otto Company buys a $900 machine on credit .This transaction
will affect the:
a. income statement only.
b. balance sheet only.
c. income statement and owner’s equity statement only.
d. income statement, owner’s equity statement, and balance sheet.
4. The financial statement that reports assets, liabilities, and owner’s equity is the:
a. income statement.
b. owner’s equity statement.
c. balance sheet.
d. statement of cash flow.
5. Services provided by a public accountant include:
a. auditing, taxation, and management consulting.
b. auditing, budgeting, and management consulting.
c. auditing, budgeting, and cost accounting.
6. Which of the following is not a step in the accounting process?
a. identification.
b. verification.
c. recording.
d. communication.
7. Which of the following statements about users of accounting information is incorrect?
a. Management is an internal user.
b. Taxing authorities are external users.
c. Present creditors are external users.
d. Regulatory authorities are internal users.
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8. The cost principle states that:
a. assets should be initially recorded at cost and adjusted when the market value changes.
b. activities of an entity are to be kept separate and distinct from its owner.
c. assets should be recorded at their cost.
d. only transaction data capable of being expressed in terms of money be included in the
accounting records.
9. Which of the following statements about basic assumptions is correct?
a. Basic assumptions are the same as accounting principles.
b. The economic entity assumption states that there should be a particular unit of
accountability.
c. The monetary unit assumption enables accounting to measure employee morale.
d. Partnerships are not economic entities.
10. Net income will result during a time period when:
a. assets exceed liabilities.
b. assets exceed revenues.
c. expenses exceed revenues.
d. revenues exceed expenses.
(5 Marks )
Answer for Question one
Question Number
Answer
‫إجابة الســـؤال األول‬
1 2 3 4 5 6 7 8 9 10
C A C C B C C D C D
Question 2 - A: Compute the missing amounts for each of the following notes.
(2 Marks)
(a)
(b)
(c)
(d)
Amount
( $20,000 )?
$30,000
$60,000
$45,000
Annual Interest Rate
9%
10 %
( 8% )?
8%
Time
120 days
3 years
5 months
( 4 months ) ?
Interest
600 $
( 9000 ) ?
2,000 $
1,200 $
Question 2 - B : Presented below is financial information related to the 2011
operations of Gaza Company.
Revenues
$ 325,000
Maintenance expense
$ 95,000
Property tax expense
10,000
Salaries expense
142,000
Advertising expense
3,500
Instructions
Prepare the 2011 income statement for Gaza Company.
Gaza Company
Income statement
Revenues
$ 325,000
Less : Maintenance expense
$ 95,000
Property tax expense
10,000
Salaries expense
142,000
Advertising expense
3,500
………Total expenses
Net Income
2
250,500
74,500
(2 Marks)
Question 3 : Adjustment entries :
(4 Marks)
The ledger of the company on March 31, 2012 , includes the following selected
accounts before adjusting entries :
Debit
Credit
Office Equipment 30,000
Prepaid Insurance 3,200
Accumulated Depreciation – Office Equi. 4000 Office Supplies 2,600
Unearned Revenue 9,000
An analysis of the accounts shows the following :
1. Insurance expires at the rate of $ 100 per month .
2. Supplies on hand total $800 .
3. The office equipment depreciates $ 200 a month .
4. On half of the unearned revenue was earned in March 2012 .
Solution :
Answer sheet for Question 3
Date
Explanation
Dr.
Cr.
100
Insurance Expense
100
Prepaid Insurance
(To record insurance expired)
1800
Office Supplies Expense
1800
Office Supplies
(To record supplies used)
200
Depreciation Expense
200
Accumulated Depreciation—Office Equipment
(To record monthly depreciation)
4500
Unearned Revenue
4500
Service Revenue
(To record revenue for services provided)
Question 4 : Two items are omitted from each of the following summaries of balance
sheet and income statement data for two proprietorships for the year 2008, Gaza
Company , Jerusalem Company
Gaza Company
Beginning of year:
Total assets
$ 95,000
Total liabilities
85,000
Total owner’s equity
(a)…10,000.
End of year:
Total assets
160,000
Total liabilities
120,000
Total owner’s equity
40,000
Changes during year in owner’s equity:
Additional investment
(b)…14,000.
Drawings
24,000
Total revenues
215,000
Total expenses
175,000
Instructions
Jerusalem Company
$129,000
(c) …49,000……..
80,000
180,000
50,000
130,000
25,000
(d)…20,000……
100,000
55,000
(2 Marks)
‫جدول اإلجابة‬
Determine the missing amounts.
A
10,000
3
B
14,000
C
49,000
D
20,000
(a) Total assets (beginning of year).......................................... $95,000
Total liabilities (beginning of year)............................................ 85,000
Total owner’s equity (beginning of year)................................. $10,000
(b) Total owner’s equity (end of year) .........................................$40,000
Total owner’s equity (beginning of year)................................
10,000
Increase in owner’s equity ........................................................... $30,000
Total revenues................................................................................ $215,000
Total expenses ................................................................................ 175,000
Net income.................................................................................... . $ 40,000
Increase in owner’s equity ................ $30,000
Less: Net income.................................................$(40,000)
Add: Drawings ....................................................+ 24,000) = (16,000)
Additional investment................................................................ $14,000
(c) Total assets (beginning of year)...................................... $129,000
Total owner’s equity (beginning of year)................................. 80,000
Total liabilities (beginning of year)............................................ $ 49,000
(d) Total owner’s equity (end of year).............................................. $130,000
Total owner’s equity (beginning of year) ................................. 80,000
Increase in owner’s equity............................................................ $ 50,000
Total revenues .................................................................................. $100,000
Total expenses.................................................................................. 55,000
Net income ......................................................................................... $ 45,000
Increase in owner’s equity................................... $50,000
Less: Net income ................................................... $(45,000)
Additional investment .............................. (25,000) (70,000)
Drawings...................................................................................... $20,000
Question 5 (5 Marks) : (a) The following are users of financial statements.
1. ____E_______
Customers
2. ____E______
Securities and Exchange Commission
3. ____I_______
Internal Revenue Service
4. ____I_______
Store manager
5. ____E_______
Labor unions
6. ____E_______
Suppliers
7. ____I_______
Marketing manager
8. ____I_______
Vice-president of finance
9. ____I_______
Production supervisor
Instructions
Identify the users as being either external users or internal users.
Question 4 : (b) The following questions could be asked by an internal user or an
external user.
1. _____I_______ Can we afford to give our employees a pay raise?
2. _____E_______ Did the company earn a satisfactory income?
3. _____I_______ Do we need to borrow in the near future?
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4. _____I_______ What does it cost us to manufacture each unit produced?
5. _____I_______ Which product
should we emphasize?
6. _____E_______ Will the company be able to pay its short-term debts?
Instructions
Identify each of the questions as being more likely asked by an internal user or an
external user.
Question 4 : (A )Indicate whether each of the following items is an asset (A), liability
(L), or part of owner’s equity (OE).
1.
2.
3.
4.
5.
___A____
___L____
___A____
___OE____
____L___
(a) Accounts receivable
(b) Salaries payable
(c) Equipment
(e) Owner’s investment
(f) Notes payable
Best wishes for All of you
Subject professor :
Dr. Nahed Al Khaldy
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