Fall 2007 exam 2

Fall 2007 exam 2 - MISCH FALL 2007 NAME FINANCIAL...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
MISCH NAME_______________________________________ FALL 2007 FINANCIAL ACCOUNTING EXAM II PROBLEM POSSIBLE POINTS ACTUAL POINTS 1. Journal Entries/Cost of Goods Sold 27 2. Inventory Computation 15 3. Accounts Receivable/Bad Debts 14 4. Bank Reconciliation 09 5. Investments 17 6. Depreciation and Disposition of Assets 17 7. Quibble Point 01 ---------- Total 100 NOTE: A. If you are asked for an entry or an amount when none is required, write “no entry” or “zero” in the space provided. B. Round all journal entry amounts to the nearest dollar. C. Partial credit will be given only when supporting computations are shown in good form. D. Calculators with stored-text capabilities are prohibited on this examination. Use of such calculators and/or possession of any unauthorized materials will result in your receiving a zero on the examination. E. Good Luck! 1
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
PART I—JOURNAL ENTRIES/COST OF GOODS SOLD (27 POINTS) Oak Corporation had $165,000 of inventory on hand on January 1, 2007. The company uses a FIFO periodic inventory system, accounts for all sales and purchases on the gross method, and computes cost of goods sold monthly. Oak had the following transactions during January. Jan. 2 Established a petty cash fund by writing and cashing a check for $75. Jan. 4 Purchased $22,000 of merchandise on account from Ficus Corporation on terms 1/5, n/25, f.o.b. destination. Jan. 5 Returned $800 of the merchandise purchased from Ficus on the 4 th because it was defective, and received a credit memorandum. Jan. 7 Paid the amount due to Ficus. Jan. 9 Made a $61,000 sale on account to Willow Corporation on terms 1/10, n/30, f.o.b. shipping point. Jan. 14 Bought $37,000 of inventory on account from Hickory Corporation on terms 2/10, n/30, f.o.b. shipping point. Jan. 16 Received the amount due from Willow. Jan. 18 Received and paid an invoice from Fir Freight for $51 of shipping charges on the January 14 th purchase. Jan. 23 Made a $52,600 cash sale to Dogwood Corporation. Jan. 27 Replenished the petty cash fund. Before replenishment, the petty cash box contained $12 of cash, a $37 voucher for office supplies that had been used during January, and a $29 voucher for advertising charges that had been incurred during January. Additional Information: Oak had $168,400 of inventory on hand at January 31, 2007, based upon a physical count. Required:
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

Page1 / 12

Fall 2007 exam 2 - MISCH FALL 2007 NAME FINANCIAL...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online