Solutions.F09.Midterm

Solutions.F09.Midterm - Concordia University Department of...

Info iconThis preview shows pages 1–4. Sign up to view the full content.

View Full Document Right Arrow Icon
Concordia University Financial Accounting Department of Accountancy COMM 217 All Sections Suggested Solution Mid-term Examination Fall 2009 Question 1 (24 marks) Multiple-choice (1.5 marks per correct answer) 1. b 2. a 3. c 4. c 5. c 6. d 7. b 8. d 9. c 10. b 11. d 12. a 13. d 14. b 15. c 16. c
Background image of page 1

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

View Full DocumentRight Arrow Icon
Question 2 (11 marks) Req.1 Jan. 2: Cash 5,000 Land 10,000 Share capital /common shares 15,000 Jan 7: Wages expense 3,000 Wages payable 2,000 Cash 5,000 Feb. 15: Equipment 16,000 Cash (16,000 * 1/4) 4,000 Notes payable 12,000 Mar. 20: No transaction has occurred because there has been no exchange or receipt of cash, goods, or services. April 25: Cash 10,000 Notes payable 10,000 Req. 2 Oct. 31: Prepaid rent 10,000 Rent expense ($12,000/12) x10 10,000 Nov. 30: Accounts receivable 400 Cash 400 Dec. 31: Bank service expense 50 Cash 50
Background image of page 2
Question 3 (32 marks) Req. 1 -- Adjusting journal entries, Dec. 31, 2008 a) Amortization expense . ....................................... 19,080 Accumulated amortization – building . .... Accumulated amortization - equipment . . 14,330 4,750 $573,200 / 40 = $14,330 ($100,000 - $5,000) / 20 = $4,750 (b) Retained earnings (or, Dividends) . .................... 1,000 Dividends payable . .................................. 1,000 $.10 x 10,000 = $1,000 (c) Insurance expense (or General and administrative expenses). .......................................................... 8,400
Background image of page 3

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

View Full DocumentRight Arrow Icon
Image of page 4
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 7

Solutions.F09.Midterm - Concordia University Department of...

This preview shows document pages 1 - 4. Sign up to view the full document.

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