Financial Accounting / ACCT 201

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): Marks 15 Chapter 1 to 5

Q1 Globalization demands a single set of high-quality international accounting standards. List the elements of High Quality Standards and explain the two major boards that sets standards.

Answer:

3 Marks

Q2. Q2. What do you understand by deferrals and accruals in adjusting entries

?

Give numerical examples on how such adjusting entries are made.

(4 Marks)

Answer:

Q3. Fill in the blanks (1 Mark)

=Net Profit

?

?

?

	Sales Revenue	– Cost of goods sold		= Gross Profit		– Operating expenses
500,000	?	175,000		76,500
	305,800		115,750		65,250

Answer:

Sales Revenue

= Gross Profit- Operating expenses=Net Profit

76,500

305,800115,75065,250

– Cost of goods sold
500,000	175,000

Q4. a. What do you understand by allocation to non-controlling interest and discontinued operations? Explain how they are reported in the income statement.

(2 Marks)

Amswer:

Q4b. Intraperiod Tax Allocation.

XYZ Co. has income before income tax of SR 50,000. XYZ Co. has a gain of SR 10,000 from a discontinued operation. Assuming a 35 percent income tax rate, how would XYZ Co. present the information on the income statement, and if it had a loss of SR 10,000 from a discontinued operation. Assuming a 35 percent income tax rate, show the changes in Income on the income statement

(2 Marks)

Prepare:

1.Changes in Income on the income statement when Loss made from discontinued operations

2.Changes in Income on the income statement when Gain made on discontinued operations

Answer:

Q5

The following information in SAR. Prepare a Cash Flow Statement:- (3 Marks)

Opening Cash Balance 15,000

Closing Cash Balance 23,000

Increase in current liabilities 13,000

Decrease in current assets 17,000

Fixed assets purchase 30,000

Redemption of 12% bonds 14,000

Profit for the year 18,000

Depreciation 4000

Answer:

College of Administrative and Financial Sciences
Assignment 1
Deadline: 02 /03/ 2024 @ 23:59
Student’s Name:
Student’s ID Number:
CRN:
Course Name: Financial Accounting
Course Code: ACCT 201
Semester: 2
Academic Year: 2023- 24
For Instructor’s Use only
Instructor’s Name:
Students’ Grade: …… /15
Level of Marks: High/Middle/Low
nstructions – PLEASE READ THEM CAREFULLY
• 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.
College of Administrative and Financial Sciences
Assignment Question(s): Marks 15 Chapter 1 to 5
Q1 Globalization demands a single set of high-quality international accounting standards. List
the elements of High Quality Standards and explain the two major boards that sets standards.
Answer: 3 Marks
Q2. Q2. What do you understand by deferrals and accruals in adjusting entries? Give
numerical examples on how such adjusting entries are made.
(4 Marks)
Answer:
Q3. Fill in the blanks (1 Mark)
Sales Revenue
– Cost of goods sold
500,000
?
?
305,800
=
Gross
Profit
175,000
?
– Operating
expenses
?
115,750
=Net Profit
76,500
65,250
Answer:
Sales Revenue
– Cost of goods sold
500,000
= Gross Profit
Operating
expenses
175,000
305,800
115,750
=Net Profit
76,500
65,250
Q4. a. What do you understand by allocation to non-controlling interest and discontinued
operations? Explain how they are reported in the income statement. (2 Marks)
Amswer:
College of Administrative and Financial Sciences
Q4b. Intraperiod Tax Allocation.
XYZ Co. has income before income tax of SR 50,000. XYZ Co. has a gain of SR 10,000 from a
discontinued operation. Assuming a 35 percent income tax rate, how would XYZ Co. present the
information on the income statement, and if it had a loss of SR 10,000 from a discontinued operation.
Assuming a 35 percent income tax rate, show the changes in Income on the income statement
(2 Marks)
Prepare:
1. Changes in Income on the income statement when Loss made from discontinued operations
2. Changes in Income on the income statement when Gain made on discontinued operations
Answer:
Q5
The following information in SAR. Prepare a Cash Flow Statement:- (3 Marks)
Opening Cash Balance
15,000
Closing Cash Balance
23,000
Increase in current liabilities
13,000
Decrease in current assets
17,000
Fixed assets purchase
30,000
Redemption of 12% bonds
14,000
Profit for the year
18,000
Depreciation
4000
Answer: