BEACCTNG.

1 Fundamentals of Accounting 1
ACTIVITY 1 
WEEK 1

Name: Lacson, Andrea M.

Course: BS Accountancy Date October 2,2020

Test I – MULTIPLE CHOICE. Write the correct letter in your answer sheet. Use capital letters
only Erasures are wrong. 1 point each 

Answer sheets for test one:

Highlight the letter of the statement refer to the
statements in test one A B C D A B C D
A B C D
16 31
1
17 32
2
18 33
3
19 34
4
20 35
5
21
6
22
7
23
8
24
9
25
10
26
11
27
12
28
13
29
14
30
15
 BEACCTNG.1 Fundamentals of Accounting 1
ACTIVITY 2
WEEK 1

Test I - Write the correct letter referred to in column A from the Word Bank in Column B
in your answer sheet given. Use capital letter only. 1point each 

# #

1 F 11 H

2 C 12 M

3 E 13 N

4 G 14 Q

5 B 15 S

6 A 16 R

7 K 17 O

8 D 18 I

9 L 19 U

10 J 20 P

Test II – Identify the transactions as to OPERATING ACTIVITY, (OA), INVESTING

ACTIVITY (IA), FINANCING ACTIVITY (FA) . Mark X your answer in the answer sheet
provided below. 1point each

# OA IA FA # OA IA FA

1 X 6 X

2 X 7 X

3 X 8 X

4 X 9 X

5 X 1 X
0

 
 BEACCTNG.1 Fundamentals of Accounting 1
ACTIVITY 3
WEEK 1

Test IV- State the accounting concept/principle violated by each of the following case. 2points
each . Answer the cases and briefly explained. 

1. Entity Concept 
- In the first case Mr. San Toh violated the Entity Concept which means the
transaction of a business must be kept seperate from the personal affairs of the owner but Mr.
San Toh treated his personal assets as part of the Saint Enterprises that is not right he should
exclude his personal assets from the Saint Enterprises.

2. Going Concern 
- The second case violated the Going Concern wherein the management of
the St. Benjamin's Hospital declined the proposal of the stockholders because of the
belief they will lose and that is ready to stop operation. Going Concern implies that the
hospital will continue operating indefinitely if no evidence is available to believe that it
will have to end it's operation in foreseeable future.

3. Cost Principle 
- Gisel Ongs violated the Cost Principle when she propose to account for
the shop assets at the current market value.The Cost Principle is when the time you
purchased an assets you should record it when you purchased it and what is the price of
the assets at that time.

4. Accrual Principle 
- In this case they violated Accrual Principle. Panda Airlines should
recorded the 10% of the amount of what Cathy Pacific transfer to them at that time and
Panda Airlines showing a unethical behavior is not a wise move to deceived other to
generate cash in their business.

5.
Accrual Principle 
- In this case the accountant violated the Accrual principle he/she must
recorded the transaction in the time which they occur. The utilities bill is for the month of
May that should be recorded in the day when he/she received bill not the time when you
will pay.

6. Accrual Principle 
- The accounting record for the project of Nico Ong should recognized
when the transaction incurred, following the Accrual Principle in accounting provides
more
accurate financial status of the project because it measures business performance and
position by recording revenue and expenses when transaction occur rather that when
payment is received.

7. Entity Concept
- In this case Many Pacquiao violated the Entity Concepth. The record of
the transaction of each business should be seperate to others even they are located in
same the same area. The records of multiple entities would be intermingled making it
quiet difficult to Many Pacquiao to pin point which particular business from what specific
area should be closed.

8. Objectivity concept
 - In this case the concept that they violated is the objectivity concept wherein
they recorded the unsupported expenses under the account title Facilitation Expense. Sincere
Corporation should used only verifiable data never a subjective measurement of values and free
from bias.