ACCT 101 SEU Statement of Retained Earnings & Balance Sheet Questions

Assignment 1
Deadline 22 /7/2023 at 23.59 pm
Course Name: Principles of Accounting
Student’s Name:
Course Code: ACCT 101
Student’s ID Number:
Summer Semester
CRN:
Academic Year: 1444 H
For Instructor’s Use only
Instructor’s Name:
Students’ Grade: Marks Obtained /Out of 20
Level of Marks: High-Middle-Low
marks
Notes:
•
The Assignment must be submitted on Blackboard (WORD format only) via allocated folder.
•
Assignments submitted through email will not be accepted.
•
Students are advised to make their work clear and well presented; marks may be reduced for poor
presentation. This includes filling your information on the cover page.
•
Students must mention question number clearly in their answer.
•
Late submission will NOT be accepted.
•
Avoid plagiarism, the work should be in your own words, copying from students or other resources
without proper referencing will result in ZERO marks. No exceptions.
•
All answered must be typed using Times New Roman (size 12, double-spaced) font. No pictures
containing text will be accepted and will be considered plagiarism).
•
Submissions without this cover page will NOT be accepted.
Assignment Question(S):
(Total 20 Marks -4 Questions Each Carries 5 Marks)
Q1 What is the accounting cycle? Explain every step starting from analysing
transactions to preparing post-closing trial balance. (Marks5)
Answer:
Q2. Based on the following trial balance for ABC Co, prepare an income statement,
statement of retained earnings and a balance sheet. The company made no additional
investments in the company during the year.
(Marks5)
ABC Co.
Trial Balance
December 31
Cash
Accounts receivable
SR 6,500
475
Supplies
2,500
Equipment
17,000
Accounts payable
SR 745
Common stock
10,000
Retained earnings
11,155
Dividends
36,000
Revenue earned
72,000
Supplies expense
3,425
Rent expense
6,000
Wages expense
22,000
Totals
SR93,900
SR93,900
‫كلية العلوم الادارية والمالية‬
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Q3: On your own words, outline the accounting principles and assumptions and
explaineach one
Answer:
6
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Q4: On 31/12/2020, the following balances appeared in the trial balance of ABC
Company
(5marks)
ABC Co.
Partial Trial Balance
December 31
Prepaid insurance
1,500
Supplies
1,000
Unearned service revenue
1,500
Equipment
50,000
Additional information:
a. An insurance policy examination showed SR1,000 of expired insurance
b. An inventory count showed SR200 of unused shop supplies still available
c. Depreciation expense on shop equipment, SR10,000
d. SR800 of the Unearned service account balance was earned by year-end.
Required :
1. Make the necessary adjusting entries.
2. Show the impact of these adjustments on the income statement and the balance sheet statement.
Answer:
7
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‫كلية العلوم الادارية والمالية‬
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