Institute of Finance and Accounting Mid-Term Exam PDF

វិទយ ថ នហិរញញ វតថុ និងគណេនយយ INSTITUTE OF FINANCE AND ACCOUNTING MID-TERM TQ5: FINANCIAL STATEMENT PREPARATION Lec. TENG Sekha Time allowed: 1H00 ALL questions are compulsory and MUST be atte...

វិទយ ថ នហិរញញ វតថុ និងគណេនយយ INSTITUTE OF FINANCE AND ACCOUNTING MID-TERM TQ5: FINANCIAL STATEMENT PREPARATION Lec. TENG Sekha Time allowed: 1H00 ALL questions are compulsory and MUST be attempted. សំគល់៖ ១. និស តទំ ិ ងអស់មន ិ ្រតូវលួ ចេមល ើ គន ឬបញជូ ន រ មទូរស័ពប ទ នេឡើយ។ ២. មន ិ ្រតូវរ ំខនដល់អក ន ដៃទកនុងេពល្របឡង ។ ៣. ្រតូវពយយមបញច ប់កិចក ច រមុនចកេចញពីកែន្លង្របឡង។ ៤. ល់ចេម្លយ ើ ្រតូវបំេពញេនកនុង ង ឬ្រក សចេម្លយ ើ េនខងេ្រកយ។ ៥. ្រតូវ្របគល់ឯក រ្របឡងេទឲយេម្របេយគមុននង ឹ ចកេចញ។ ៦. នស ិ តទំ ិ ងអស់្រតូវេគរពេគលករណ៍ទំងអស់ ខងេលើ។ Student name:.............................................................................. Penh Makara Room:................................................................................................... 204 សំគល់៖ ល់សំណួរែដលមនេលខ្រតូវបក្រ យ។ (Date Exam: February 26, 2024) 1‐ Willam Ltd prepares its financial statements for the year to 31st December each year. The company pays rent for its premises quarterly in advance on 1st March, 1st June, 1st September and 1st December each year. The annual rent was 168,000,000 KHR per year until 29th February 20X8. It was increased from that date to 192,000,000 KHR per year. What rent expense and end‐of‐year prepayment should appear in the company’s trial balance after making any necessary adjustment prepayments for the year ended 31st December 20X9? Expense Prepayment A 186,000,000 16,000,000 B 188,000,000 32,000,000 C 186,000,000 32,000,000 D 188,000,000 16,000,000 2‐ Caroll LTD pays rent on her office in advance and telephone bills in arrears. The balance on these accounts at 1 January 20X8 was: Rent 6,400,000 KHR Dr Telephone 225,000 KHR Cr During the year ended 31 December 20X8, Champei paid 39,000,000 KHR to her landlord and 3,125,000 KHR to her telephone provider. Included in the 39,000,000 KHR paid to her landlord was a bill for 9,750,000 KHR covering the period 1 December 20X8 to 28 February 20X9. On 7 January 20X9, Champei received a telephone bill for 294,500 KHR to cover the month of December 20X8. What is correct expense for each of these items for the year to 31 December 20X8? Rent Telephone A 38,900,000 KHR 3,194,500 KHR B 39,100,000 KHR 3,055,500 KHR C 38,900,000 KHR 3,055,500 KHR D 39,100,000 KHR 3,194,500 KHR 3‐ At 1 July 20X8 a company had prepaid insurance of 4,100,000 KHR. On 6 October 20X8 the company paid 19,000,000 KHR for insurance for the year to 30 September 20X9. What figures should appear for insurance in the company’s trial balance after making any necessary adjustment for accruals and prepayments for the year ended 30 June 20X9? Expense Prepayment A 13,600,000 KHR 8,000,000 KHR B 19,650,000 KHR 4,750,000 KHR C 18,350,000 KHR 4,750,000 KHR D 27,850,000 KHR 4,750,000 KHR 4‐ Vanna Apartment rent part of its office accommodation. The rent is received quarterly in advance on 1 January, 1 April, 1 July and 1 October. The annual rent has been 48,000,000 KHR for some years, but it was increased to 60,000,000 KHR from 1 July 20X8. What amounts for this rent should appear in the company’s financial statements for the year ended 31 January 20X9? Rental Income Unearned Income A 55,000,000 KHR 10,000,000 KHR B 55,000,0000 KHR 10,000,000 KHR C 54,000,000 KHR 5,000,000 KHR D 54,000,000 KHR 5,000,000 KHR 5‐ Dana keeps no accounting records. The following information is available about her position and transactions for the year ended 31 December 20X8: KHR m Net assets at 1 January 20X8 420 Drawings during 20X8 96 Capital introduced during 20X8 200 Net assets at 31 December 20X8 800 Based on this information, what was Wanda’s profit for 20X8? A 84 million KHR B 484 million KHR C 276 million KHR D 676 million KHR 6‐ Khemarak Ltd purchased some plant and equipment on 1st July 20X8 for 20,000,000 KHR. The estimated scrap value of the plant in ten years’ time is estimated to be 2,000,000 KHR. Khemarak Ltd’s policy is to charge depreciation on the straight line basis, with a proportionate charge in the period of acquisition. What should the depreciation charge for the plant be in Khemarak Ltd’s accounting period of 30th September 20X8? A 360,000 KHR B 300,000 KHR C 450,000 KHR D 337,500 KHR 7‐ At 30 June 20X8 a company’s allowance for receivables was 19,500,000 KHR. At 30 June 20X9 trade receivables totalled 258,500,000 KHR. It was decided to write off debts totalling 18,500,000 and to adjust the allowance for receivables to the equivalent of 5 per cent of the trade receivables, based on past events. What figure is the correct expense following the above adjustments? A 30,500,000 KHR B 124,000,000 KHR C 11,925,000 KHR D 11,000,000 KHR 8‐ A company, issued 1,000,000 ordinary shares of 300 KHR each at a price of 1,200 KHR per share, all received in cash. What should be the accounting entries to record this issue? Debit Credit KHR KHR A Share capital 300,000,000 Share premium 900,000,000 Cash 1,200,000,000 B Cash 1,200,000,000 Share capital 1,200,000,000 C Cash 1,200,000,000 Share capital 300,000,000 Retained earnings 900,000,000 D Cash 1,200,000,000 Share capital 300,000,000 Share premium 900,000,000 9‐ The following transactions in May 20X9 are those of a new business called M Trading Ltd. May 20X9 Date 1 The proprietor set up the entity with cash capital of 4,500,000 KHR. 2 Bought goods on credit for 3,500,000 KHR. 4 Sold goods on credit for 2,800,000 KHR. 6 Paid rent 200,000 KHR. 10 Received 1,700,000 KHR from a credit customer. 12 Paid 1,500,000 KHR to its creditors. 21 Sold goods on credit for 1,300,000 KHR. Required: a) Use T accounts to show how these transactions should be recorded in the main ledger accounts of the entity. b) Prepare a trial balance as at 31 May 20X9.