2refertothe following information Hems4-Sreferto the following information, for Dee's business Office equip rent was purchased for $155,000. Its useful life is 5 years andthe ssidual value is $20,000. . Tease yewite Pariculars relate vo three “4, What Jeu ‘epreciation expense for the finanetal years second year? Year Trade Receivables Ds 27000 o (© $ 81000 2015 40.0005 (D) $135 000 2016 35000 > 2017 | 45.000 ; Bish: 9 ete e The total net book value at the best 1 What is the total provision for doubtful of year 4 is debts at the end of 20169 (A) $ 27000 LD, $1750 (B). § 81 000 “ ®) % $2 000 QD s 74000 (©) $2250 () $101 000 (D) $3750 “ “Which of the following is NOT classified 2 ~The effect of provision for doubtful debts asrevenue expenditure foramotorvehicle? ©n the income statement in 2017 ig (A) Deprecietion e (a (B) Oillchange (B) (CQ) Cost of fixing a fat tire <> @p Installation of air condi ioning (Dy 7 The accounting entry for writ ie off'a bad “3. Which of the following is Nore capital deb is expenditure? i Maceo (A) DrCash (A) Replacement costs Cr Bad debt (B) Purchase costs Delivery costs (B) Dr Provision far.bad debt io Repair costs — Pwvtrw cyp. Cr Bad debt a (C) Dr Bad debt sh pes ture Cr Accounts payable doverue her Nitin Co) Dr Bad debt Cr Accounts receivable GO ON 1 | 01239010" ‘O THE NEXT Page a #\ouMFess shows accounts receivable as $84 000 and the provision for doubtful Jebts as $5040 The business is therefore raintaining a provision for doubtful debts A) 3% By * 5% HP 6% 1D) 8% At the end of the financial year D Waters’ business paid Insurance of $1 advance for the following year siglements? (A) Increase expenses Increase current assets (B) Increase expenses Decrease current assets (CD Decrease expenses > Increase current assets) (D) Decrease expenses Decrease current assets € 000 in How will this adjustinent affect D Waters* financial ot prepay rent S House rents apartments. For the year he collects $42,000 in rent. In 2016, Mr House collected $40.000. What is the correct journal entry to adjust rent revenue at the end of 2016? ) 4 yteunta Bow Details Dr Sr 3 3 Accrued rent revenue 2000 [_ Rent revenue a 2000 a Details Dr Cr iS a | [31 December | Rent revenue 40.000 L Prepaid rent revenue 40 000 al oO [Date aa Details 2016 31 December | Rent revenue Accrued rent revenue Details 31 December | Bank pr ee eS Income statement 10, a ascording. summarizing. analyzing and interpreting of financial data to make informed decisions is known as (A) accounting adjustments (B) accounting cycle (C) book keeping {D)) accountin: 32. The source document entered in the Purchases Journal is a CGAY purchases invoice “B) purchases receipts (C) credit note (D) debit note 33... .Which of the following is NOT ethical principle of accounting: (A) due care (BL integrity (©) subjectivity 1D) professional behaviour 34. ‘The manager of S Danielle's Enterprises hgs instructed the-accounts clerk to omit some of the entries totally from the books. This unethical practice is known as (A) fraudulent financial reporting (B) misappropriation of assets CD disclosure np} ‘TD) _penalities Disclevae’ it the out ) Ang AK fond Breet ick Is yo = Bo 2° wo ge oF eis ase 91239010 S 1a aS teceived by H Leon with the following information: v%e-Tb: PP Grey From: N Black tems: 15 Rolls book cover @ $2 each 2 dozen Ppens @ $20 per doz™ 30 folders @ $1.50 each Trade discount: 10% 35. What would be the total on the invoice? (A) $115.00 (B) $110.00 « $105.30 (ey $103.50 36. Trade discount isthe amount __ (A) received by wholesalers (B) on which taxes are charged (CL writen off the total invoice «D) written off the purchase price ngmi32 refers to the following information shown in books of original entry. Date 2016} Details November 10 | Q_ Quan 18 November 23 [E Eek 25. 37. Which book of original entry would reflect the entry above? en Gy) _ Returns Outwards Journal agal (B) Returns Inwards Journal CO (c) Petty Cash Book (D) Cash Booksieht he po aiiaaael crea 56. the profitability ofthe business” Capital ratic imited” after the name of a ‘Company means that amember’s liability li dtothe ‘TMountoF shares purchasedin the company {B) a shareholder can purchase only a (A) Going concer lnted number shucs hacer agn Dacre (C) the company engagesin the sale of Money measurement a limited range of products (D) Historical cost concept {D) the company is legally registered and can commence operation; 58. Which of the folowing ere-Ade, components of the Income'statement? ‘S4. Which of the following can have its shares traded on the stock exchange? Net sales. Cost of sales. Net profit Non-current liabilities. G, 1A) A partnership Expenses 4 © public company Net current assets. Gross pi )_ private company Cost I SLRs, algae pea (Dy Aco-operative society Grossprofit.Currentassets. Current liabilities a $5. Whichof the following typesofinvestment carriesa fixed rate ofinterest whether profit vera fixed rate of interest whether profit is made or not es eae Debentures Nano type @® Preference shares so = {C) Cumulative preference “A |"¢fewa= Shan {D) Participating preference x Cipmatlotive Prveene ~- . Nok S eamvanS hig Wiebe an at 2 dies up oo each yea, ae