ACCT 460 San Jose City College Auditing Inventory Current Issue Summary

‫كلية العلوم الادارية والمالية‬|
Assignment 1
Deadline 22 /7/2023 at 23.59 pm
Course Name: Principles 0f Accounting
Student’s Name:
Course Code: ACCT 490
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 25
Level of Marks: High-Middle-Low
marks
Notes:
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The Assignment must be submitted on Blackboard (WORD format only) via allocated folder.
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Assignments submitted through email will not be accepted.
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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.
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Students must mention question number clearly in their answer.
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Late submission will NOT be accepted.
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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.
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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).
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Submissions without this cover page will NOT be accepted.
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‫كلية العلوم الادارية والمالية‬
Assignment Question(S):
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(Total 25 Marks- -5 Questions Each Carries 5 Marks)
Q1. In January 2023, ABC Sole Proprietorship Conducted the Following
Transactions (Amounts in Saudi Riyal)
1. Owner paid the capital for 5,000,000 in cash.
2. It purchased equipment for 500,000 in cash.
3. It purchased inventory for 2,000,000 in cash.
4. It Sold inventory for 1,000,000 in cash.
5. It Sold inventory for 200,000 on credit.
6. It paid salaries for 250,000 in cash.
7. It borrowed 500,000 from Riyadh bank by signing a promissory note.
8. It purchased supplies for 100,000 on credit.
9. It paid for the purchased supplies on credit.
10. It collected the sold inventory on credit.
Required: Pass the Above Transactions in the Journal Using the Accrual
Accounting
Answers:
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Q2. Discuss The Principles And Assumptions of The Accounting
Theory.
Answer:
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Q3. In December31, 2022 the accountant discovered the following
information:
1. Supplies purchased during the year and recorded as an assets were 20,000. As the Physical
counting indicated that end of period supplies were 5,000.
2.
Cash received for 5,000 during the year against services not yet provided to the clients and
recorded as earned revenues.
3. Salaries for 25,000 incurred in the year but unpaid and unrecorded.
4. Revenues for 50,000 earned in the year but uncollected and unrecorded.
5. The annual Depreciation expenses for 10,000 unrecorded.
Required: Pass the required Adjusting Entries for the above
Information.
Answer:
5
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Q4. Below Is The Adjusted Trail Balance For ABC Corporation As of
December 31 2022:
Items
Debit
Cash
1,000,000
Accounts Receivable
5,000,000
Supplies
100,000
Equipment
1,000,000
Credit
Accumulated Depreciation –Equipment
200,000
Accounts Payable
100,000
Notes Payable
500,000
Unearned Revenues
100,000
Common Stock
4,600,000
Retained Earnings
300,000
Dividends
100,000
Sales
10,000,000
Salaries Expenses
1,000,000
Rent Expenses
500,000
Cost Of Goods Sold
7,000,000
Depreciation Expenses
100,000
Total
15,800,000
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15,800,000
‫كلية العلوم الادارية والمالية‬
Required: Prepare the Following Statements
1. Income Statement
2. Retained Earnings Statement
3. Balance Sheet Statement
Answer
7
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‫كلية العلوم الادارية والمالية‬
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Q5. The following information extracted from the cost records during
January 2023
Dates
Particular
Units
Cost per unit
Total cost
January 1
Begging inventory
150
20
3,000
January 10
Purchase
50
25
1,250
January 20
Purchase
100
30
3,000
January 25
Sales
200
Required:
1. Compute The Cost Of Goods Sold On January 25, 2023 Using
First In First Out, Last In First Out And Weighted Average
Methods
Answer:
8