SELL
Looking for more study guides & notes to pass ACCT1101? Find more study material on our ACCT1101 overview page
Exam
$17.10
Add to wishlist
6
0
(0)

ACCT1101: Quiz 2 All Graded A

ACCT1101: Quiz 2 • Question 1 10 out of 10 points MULTI ANSWER-Which of the following classifications are common for a retail business? b. current assets c. Property and equipment d. long-term investments • Question 2 10 out of 10 points The accounting records for Wilson's Car Hire show the following information for 2016: Total sales revenue $ = 71,954 Proportion of credit sales in % = 0.58 Accounts receivable 1 January 2016 $ = 2,655 Accounts receivable 31 December 2016 $ = 5,010 Calculate Accounts Receivable Turnover for Wilson's Car Hire for 2016. (Express to two decimal places e.g. 00.00) Selected Answer: 10.89 • Question 3 10 out of 10 points Twinkles Pty Ltd is a children's clothing wholesaler. The following information is available for Twinkles Ltd for 2016: Beginning total assets 1 January 2016 $ 74,024 Interest expense 2016 $ 3,599 Ending total assets 31 December 2016 $ 54,110 Net income 2016 $ 19,326 Calculate return on assets for Twinkles Pty Ltd for 2016. (Express as a percentage to two decimal places e.g. 00.00) Selected Answer: 35.78 • Question 4 10 out of 10 points The following information is available for Petal's Flower Shop for the month of May 2016: Costs of goods sold for May decreased 2.1% Inventory turnover ratio for May 2016 is 5.07 Number of business days open in May 2016 is 15 Calculate the number of days in selling period for May 2016. (Express the days to two decimal places e.g. 00.00) Selected Answer: 2.96 • Question 5 10 out of 10 points MULTI ANSWER - Which of the following would be considered to be policies related to the sales of the business goods and services? Selected Answers: a. Sales return policies b. Discount policies d. Sales allowance policies • Question 6 10 out of 10 points MULTI ANSWER - To calculate the return on assets ratio which of the following information would be required? b. Average total assets c. Net income d. Interest expense • Question 7 10 out of 10 points MULTI ANSWER -From the following choices, choose the items that would be classified as working capital items. b. Accounts payable c. Inventory d. Cash accounts • Question 8 10 out of 10 points The following information is relevant to Hewitt's Pty Ltd for the month of March: 1 March, the balance in the Accounts Receivable account was $ = 35,577 Collections from customers totalled $ = 23,080 Credit sales amounted to $ = 32,298 Bad debts written off Accounts Receivable $ = 756 Calculate the ending balance of Accounts Receivable at 31 March. Selected Answer: 44,039 • Question 9 10 out of 10 points The Camping-On-The-Go Shop sells one type of portable toilet. During July 2015, opening inventory, purchases and sales of portable toilets were as follows: 1 July 2015 Opening inventory of 100 portable toilets with a unit price of : $ = 26 10 July 2015 Purchases 40 portable toilets for a unit price of : $ = 32 24 July 2015 Sales of 60 portable toilets for a unit selling price of: $ = 70 The Camping-On-The-Go Shop uses the periodic inventory system and a stocktake on 31 July 2015 showed 80 portable toilets in inventory. Assuming the Camping-On-The-Go Shop uses the First In First Out (FIFO) method, what is the total value of the portable toilet inventory on 31 July 2015? Selected Answer: • Question 10 10 out of 10 points Marbles Pty Ltd sells children's toys. The following information relates to Marbles Pty Ltd for the month of July 2016: Inventory turnover for July = 12.1% July purchases $= 8,391 Ending inventory 31 July 2016 $ = 5,520 Beginning inventory 1 July 2016 $ = 6,948 What is the cost of goods sold for Marbles Pty Ltd for July 2016? Selected Answer: • Question 11 10 out of 10 points The following information is available for Tailgate Pty Ltd for the 2016 financial year: Sales $ = 49,934 Net Income $ = 5,207 Cost of Goods Sold $ = 7,264 Sales Allowances $ = 1,937 Calculate Tailgate Pty Ltd's 2016 Gross Profit Percentage. (Express as a percentage to two decimal places e.g.00.00) Selected Answer: • Question 12 10 out of 10 points Tonto Pty Ltd sells one type of dress-up toy. The accounting records for Tonto Pty Ltd showed the following information for the month of April 2016: Cost of goods available for sale for April 2016 $ = 3,447 Number of toys available for sale for April 2016 units = 438 Number of toys in ending inventory 30 April 2016 units = 281 If Tonto Pty Ltd uses the periodic inventory system and the average cost flow assumption, what is the value of ending inventory at 30 April 2016? • Question 13 10 out of 10 points The following information is available for Pinnacles for the month of August: Sales $ = 43,087 Net Income $ = 3,191 COGS $ = 15,300 Sales Allowances $ = 705 Calculate Pinnacles' Profit Margin ratio for August (Express as a percentage to two decimal places) Selected Answer: • Question 14 10 out of 10 points MULTI ANSWER - When preparing a bank reconciliation, to determine the ending reconciled cash balance, which of the following actions form the process? b. Add deposits in transit c. Begin with the ending cash balance from the bank statement d. Minus the outstanding cheques • Question 15 10 out of 10 points MULTI ANSWER - Many business expenses are related to waste and therefore try to reduce this expense. Which of the following initiatives are likely to reduce waste? Selected Answers: a. Improving water usage d. Installing energy efficient light globes Thursday, September 22, 2016 10:26:56 AM AEST • Question 1 10 out of 10 points MULTI ANSWER - Current assets are readily identified as they have which of the following features? b. Listed in order of liquidity c. Expected to be converted into cash within 12 months • Question 2 10 out of 10 points MULTI ANSWER - Which of the following are characteristics of a periodic inventory system? Selected Answers: a. The cost of the ending inventory is deducted from the costs of goods available for sale c. Net purchases are added to the beginning inventory to determine cost of goods available for sale d. Inventory on hand is determined at the end of each accounting period by physically counting it • Question 3 10 out of 10 points MULTI ANSWER - Controls over accounts payable should focus on which of the following primary concerns? b. Limiting the number of employees who have authority to make business purchases c. Making of payments of the individual accounts payable at the appropriate time and verifying that the supplier records each payment properly d. Monitor the total accounts payable amount • Question 4 10 out of 10 points MULTI ANSWER - The Business Activity Statement (BAS) reports on which of the following taxation items: Selected Answers: a. GST Paid b. PAYG tax d. GST Collected e. PAYG income tax installment • Question 5 10 out of 10 points MULTI ANSWER - Which of the following accounts would be permanent accounts? Selected Answers: a. Property and equipment b. Inventory d. Cash at bank • Question 6 10 out of 10 points Tonto Pty Ltd sells one type of dress-up toy. The accounting records for Tonto Pty Ltd showed the following information for the month of April 2016: Cost of goods available for sale for April 2016 $ = 3,665 Number of toys available for sale for April 2016 units = 671 Number of toys in ending inventory 30 April 2016 units = 474 If Tonto Pty Ltd uses the periodic inventory system and the average cost flow assumption, what is the value of ending inventory at 30 April 2016? Selected Answer: • Question 7 10 out of 10 points The following information is available for Tailgate Pty Ltd for the 2016 financial year: Sales $ = 43,246 Net Income $ = 5,449 Cost of Goods Sold $ = 6,257 Sales Allowances $ = 1,444 Calculate Tailgate Pty Ltd's 2016 Gross Profit Percentage. (Express as a percentage to two decimal places e.g.00.00) Selected Answer: • Question 8 10 out of 10 points Flinders Pty Ltd pays the annual rent on its retail premises in advance on 1 July every year and charges this amount to the Prepaid Rent account. On 1 October, the accountant for Flinders Pty Ltd is about to prepare the income statement for quarter ending 30 September. Calculate the amount of rent expense for the quarter ending 30 September if annual rent is $ = 22,949 Selected Answer: • Question 9 10 out of 10 points The following information is relevant to Hewitt's Pty Ltd for the month of March: 1 March, the balance in the Accounts Receivable account was $ = 37,075 Collections from customers totalled $ = 20,089 Credit sales amounted to $ = 23,668 Bad debts written off Accounts Receivable $ = 930 Calculate the ending balance of Accounts Receivable at 31 March. Selected Answer: • Question 10 10 out of 10 points The Camping-On-The-Go Shop sells one type of portable toilet. During July 2015, opening inventory, purchases and sales of portable toilets were as follows: 1 July 2015 Opening inventory of 100 portable toilets with a unit price of : $ = 21 10 July 2015 Purchases 40 portable toilets for a unit price of : $ = 27 24 July 2015 Sales of 60 portable toilets for a unit selling price of: $ = 81 The Camping-On-The-Go Shop uses the periodic inventory system and a stocktake on 31 July 2015 showed 80 portable toilets in inventory. Assuming the Camping-On-The-Go Shop uses the First In First Out (FIFO) method, what is the total value of the portable toilet inventory on 31 July 2015? Selected Answer: • Question 11 10 out of 10 points The following information relates to Hopper Company for the month of March 2016: Cost of goods sold during March 2016 $ = 31,225 Ending inventory 31 March 2016 $ = 1,011 Beginning inventory 1 March 2016 $ = 3,720 What is the value of purchases for Hopper Company for March 2016? Selected Answer: • Question 12 0 out of 10 points The following information is available for Petal's Flower Shop for the month of May 2016: Costs of goods sold for May decreased 2.1% Inventory turnover ratio for May 2016 is 4.85 Number of business days open in May 2016 is 19 Calculate the number of days in selling period for May 2016. (Express the days to two decimal places e.g. 00.00) Selected Answer: • Question 13 10 out of 10 points The following financial information is available for the Tyler Book Shop for January 2016: Beginning inventory 1 January 2016 $ = 1,703 Cost of goods sold for January 2016 $ = 28,039 Ending inventory 31 January 2016 $ = 2,147 Calculate the inventory turnover ratio for the Tyler book Shop for January 2016. (Express to two decimal places e.g. 00.00) Selected Answer: • Question 14 10 out of 10 points The accounting records for Wilson's Car Hire show the following information for 2016: Total sales revenue $ = 92,416 Proportion of credit sales in % = 0.56 Accounts receivable 1 January 2016 $ = 13,443 Accounts receivable 31 December 2016 $ = 8,229 Calculate Accounts Receivable Turnover for Wilson's Car Hire for 2016. (Express to two decimal places e.g. 00.00) Selected Answer: • Question 15 10 out of 10 points MULTI ANSWER -A business uses internal control procedures with cash receipts for which of the following reasons? Selected Answers: a. To protect all cash receipts from being stolen b. To ensure proper recording of all cash receipts amounts c. To protect all cash receipts from being lost Thursday, September 22, 2016 10:48:10 AM AEST • Question 1 10 out of 10 points MULTI ANSWER - Current assets are readily identified as they have which of the following features? c. Listed in order of liquidity d. Expected to be converted into cash within 12 months • Question 2 10 out of 10 points MULTI ANSWER - Identify three control over accounts receivable from the following options. Selected Answers: a. Monitor accounts receivable balances and enforcement of the collection policy b. Monitor the total accounts receivable balance d. Undertake a credit check to determine that a customer is likely to pay before extending credit • Question 3 10 out of 10 points MULTI ANSWER - The features that distinguish the quick ratio from the current ratio is that the quick ratio c. only uses current assets that can be easily converted into cash d. is often used by lenders for extending credit e. is the strongest indicator of a business' ability to pay short-term debt • Question 4 10 out of 10 points MULTI ANSWER - The three control procedures that should be used with cash sales are Selected Answers: a. The proper use of a cash register b. Customer cheques should be supported with proper indentification details d. Each salesperson should match the total amounts collected against the cash register tape for their shift • Question 5 10 out of 10 points MULTI ANSWER - Which of the following are the effects on financial statements when a business has a depreciation expense on property and equipment? b. Decreases assets on the balance sheet c. Decreases net income on the income statement d. Increases operating expenses on the income statement • Question 6 10 out of 10 points Tonto Pty Ltd sells one type of dress-up toy. The accounting records for Tonto Pty Ltd showed the following information for the month of April 2016: Cost of goods available for sale for April 2016 $ = 5,653 Number of toys available for sale for April 2016 units = 950 Number of toys in ending inventory 30 April 2016 units = 63 If Tonto Pty Ltd uses the periodic inventory system and the average cost flow assumption, what is the value of ending inventory at 30 April 2016? Selected Answer: • Question 7 10 out of 10 points The following information is available for Pinnacles for the month of August: Sales $ = 41,531 Net Income $ = 2,206 COGS $ = 10,527 Sales Allowances $ = 1,275 Calculate Pinnacles' Profit Margin ratio for August (Express as a percentage to two decimal places) Selected Answer: • Question 8 10 out of 10 points The following information is available for Tailgate Pty Ltd for the 2016 financial year: Sales $ = 34,152 Net Income $ = 8,071 Cost of Goods Sold $ = 15,488 Sales Allowances $ = 1,161 Calculate Tailgate Pty Ltd's 2016 Gross Profit Percentage. (Express as a percentage to two decimal places e.g.00.00) Selected Answer: • Question 9 10 out of 10 points The accounting records for Wilson's Car Hire show the following information for 2016: Total sales revenue $ = 74,788 Proportion of credit sales in % = 0.67 Accounts receivable 1 January 2016 $ = 8,490 Accounts receivable 31 December 2016 $ = 17,156 Calculate Accounts Receivable Turnover for Wilson's Car Hire for 2016. (Express to two decimal places e.g. 00.00) Selected Answer: • Question 10 10 out of 10 points The following financial information is available for the Tyler Book Shop for January 2016: Beginning inventory 1 January 2016 $ = 665 Cost of goods sold for January 2016 $ = 4,784 Ending inventory 31 January 2016 $ = 4,089 Calculate the inventory turnover ratio for the Tyler book Shop for January 2016. (Express to two decimal places e.g. 00.00) Selected Answer: • Question 11 10 out of 10 points The following information is available for Petal's Flower Shop for the month of May 2016: Costs of goods sold for May decreased 2.1% Inventory turnover ratio for May 2016 is 5.75 Number of business days open in May 2016 is 19 Calculate the number of days in selling period for May 2016. (Express the days to two decimal places e.g. 00.00) Selected Answer: • Question 12 10 out of 10 points MULTI ANSWER -The business projected income statement support managers in which of the following decisions? Selected Answers: a. Planning decisions b. Evaluating decisions d. Operating decisions • Question 13 10 out of 10 points The following information relates to Hopper Company for the month of March 2016: Cost of goods sold during March 2016 $ = 57,866 Ending inventory 31 March 2016 $ = 6,684 Beginning inventory 1 March 2016 $ = 226 What is the value of purchases for Hopper Company for March 2016? Selected Answer: 64,324 • Question 14 10 out of 10 points The Camping-On-The-Go Shop sells one type of portable toilet. During July 2015, opening inventory, purchases and sales of portable toilets were as follows: 1 July 2015 Opening inventory of 100 portable toilets with a unit price of : $ = 49 10 July 2015 Purchases 40 portable toilets for a unit price of : $ = 75 24 July 2015 Sales of 60 portable toilets for a unit selling price of: $ = 56 The Camping-On-The-Go Shop uses the periodic inventory system and a stocktake on 31 July 2015 showed 80 portable toilets in inventory. Assuming the Camping-On-The-Go Shop uses the First In First Out (FIFO) method, what is the total value of the portable toilet inventory on 31 July 2015? Selected Answer: 4,960 • Question 15 10 out of 10 points At the end of May, the Freeway Company's accounting records showed a cash balance of $ = 45,850 When comparing the 31 May bank statement with the business' Cash account, the following items were discovered: Deposits in transit $ = 4,590 Outstanding cheques $ = 2,427 Bank service charges $ = 107 What is the cash balance that is listed on the Freeway Company's 31 May bank statement? (Do not include the dollar sign) Selected Answer: 43,580 Thursday, September 22, 2016 10:59:00 AM AEST • Question 1 10 out of 10 points MULTI ANSWER - To calculate the return on assets ratio which of the following information would be required? b. Interest expense c. Average total assets d. Net income • Question 2 10 out of 10 points Tonto Pty Ltd sells one type of dress-up toy. The accounting records for Tonto Pty Ltd showed the following information for the month of April 2016: Cost of goods available for sale for April 2016 $ = 9,101 Number of toys available for sale for April 2016 units = 653 Number of toys in ending inventory 30 April 2016 units = 210 If Tonto Pty Ltd uses the periodic inventory system and the average cost flow assumption, what is the value of ending inventory at 30 April 2016? Selected Answer: • Question 3 10 out of 10 points Flinders Pty Ltd pays the annual rent on its retail premises in advance on 1 July every year and charges this amount to the Prepaid Rent account. On 1 October, the accountant for Flinders Pty Ltd is about to prepare the income statement for quarter ending 30 September. Calculate the amount of rent expense for the quarter ending 30 September if annual rent is $ = 14,173 Selected Answer: • Question 4 0 out of 10 points The following information is available for Tailgate Pty Ltd for the 2016 financial year: Sales $ = 40,240 Net Income $ = 5,783 Cost of Goods Sold $ = 4,197 Sales Allowances $ = 637 Calculate Tailgate Pty Ltd's 2016 Gross Profit Percentage. (Express as a percentage to two decimal places e.g.00.00) Selected Answer: • Question 5 6.66667 out of 10 points MULTI ANSWER - Accounting information helps managers achieve which of the following outcomes on a day-to-day basis? c. To help managers with their decision making d. Achieve their objective of earning a profit • Question 6 10 out of 10 points Marbles Pty Ltd sells children's toys. The following information relates to Marbles Pty Ltd for the month of July 2016: Inventory turnover for July = 12.1% July purchases $= 42,050 Ending inventory 31 July 2016 $ = 5,701 Beginning inventory 1 July 2016 $ = 552 What is the cost of goods sold for Marbles Pty Ltd for July 2016? Selected Answer: 36,901 • Question 7 10 out of 10 points The following information relates to Hopper Company for the month of March 2016: Cost of goods sold during March 2016 $ = 64,630 Ending inventory 31 March 2016 $ = 7,491 Beginning inventory 1 March 2016 $ = 4,571 What is the value of purchases for Hopper Company for March 2016? Selected Answer: 67,550 • Question 8 10 out of 10 points The following information is relevant to Hewitt's Pty Ltd for the month of March: 1 March, the balance in the Accounts Receivable account was $ = 27,645 Collections from customers totalled $ = 8,189 Credit sales amounted to $ = 34,220 Bad debts written off Accounts Receivable $ = 1,842 Calculate the ending balance of Accounts Receivable at 31 March. Selected Answer: 51,834 • Question 9 0 out of 10 points MULTI ANSWER - To estimate a business' sales revenue for the following year, a manager looks at the balance sheet values for d. Accounts receivable • Question 10 10 out of 10 points MULTI ANSWER - Controls over accounts payable should focus on which of the following primary concerns? Selected Answers: a. Monitor the total accounts payable amount b. Making of payments of the individual accounts payable at the appropriate time and verifying that the supplier records each payment properly d. Limiting the number of employees who have authority to make business purchases • Question 11 10 out of 10 points The following information is available for Petal's Flower Shop for the month of May 2016: Costs of goods sold for May decreased 2.1% Inventory turnover ratio for May 2016 is 0.96 Number of business days open in May 2016 is 16 Calculate the number of days in selling period for May 2016. (Express the days to two decimal places e.g. 00.00) Selected Answer: 16.67 • Question 12 10 out of 10 points The accounting records for Wilson's Car Hire show the following information for 2016: Total sales revenue $ = 59,934 Proportion of credit sales in % = 0.46 Accounts receivable 1 January 2016 $ = 10,350 Accounts receivable 31 December 2016 $ = 1,793 Calculate Accounts Receivable Turnover for Wilson's Car Hire for 2016. (Express to two decimal places e.g. 00.00) Selected Answer: 4.54 • Question 13 10 out of 10 points The following financial information is available for the Tyler Book Shop for January 2016: Beginning inventory 1 January 2016 $ = 7,610 Cost of goods sold for January 2016 $ = 11,610 Ending inventory 31 January 2016 $ = 2,806 Calculate the inventory turnover ratio for the Tyler book Shop for January 2016. (Express to two decimal places e.g. 00.00) Selected Answer: 2.23 • Question 14 10 out of 10 points MULTI ANSWER -From the following choices, choose the items that would be classified as working capital items. Selected Answers: a. Accounts payable b. Inventory c. Cash accounts • Question 15 10 out of 10 points MULTI ANSWER - If an invoice have the following information recorded on the bottom, what would that mean? "3/10, n30" b. 3% will apply if paid within 10 days c. No discount and pay within 30 days • Question 1 10 out of 10 points MULTI ANSWER - Reducing waste and encouraging greater use of recycling can have which of the following beneficial effects on a business? b. Increase profitabilitiy c. Improve a business' environmental credentials d. Decrease costs • Question 2 10 out of 10 points Marbles Pty Ltd sells children's toys. The following information relates to Marbles Pty Ltd for the month of July 2016: Inventory turnover for July = 12.1% July purchases $= 56,820 Ending inventory 31 July 2016 $ = 4,214 Beginning inventory 1 July 2016 $ = 500 What is the cost of goods sold for Marbles Pty Ltd for July 2016? Selected Answer: 53,106 • Question 3 10 out of 10 points The following information is relevant to Hewitt's Pty Ltd for the month of March: 1 March, the balance in the Accounts Receivable account was $ = 21,127 Collections from customers totalled $ = 23,474 Credit sales amounted to $ = 17,758 Bad debts written off Accounts Receivable $ = 1,459 Calculate the ending balance of Accounts Receivable at 31 March. Selected Answer: 13,952 • Question 4 10 out of 10 points The following information relates to Accounts Receivable for Ridley's Menswear for the month of May: Balance 1 May $ = 27,586.15 Bad debt written off $ = 260.74 Credit sales May $ = 33,963.86 Receipts from credit customers $ = 9,983.96 Calculate the ending balance of Accounts Receivable at 31 May. Selected Answer: 51,305.31 • Question 5 10 out of 10 points The following information is available for Tailgate Pty Ltd for the 2016 financial year: Sales $ = 30,620 Net Income $ = 7,192 Cost of Goods Sold $ = 17,423 Sales Allowances $ = 1,011 Calculate Tailgate Pty Ltd's 2016 Gross Profit Percentage. (Express as a percentage to two decimal places e.g.00.00) Selected Answer: 41.16 • Question 6 10 out of 10 points Flinders Pty Ltd pays the annual rent on its retail premises in advance on 1 July every year and charges this amount to the Prepaid Rent account. On 1 October, the accountant for Flinders Pty Ltd is about to prepare the income statement for quarter ending 30 September. Calculate the amount of rent expense for the quarter ending 30 September if annual rent is $ = 11,601 Selected Answer: 2,900.25 • Question 7 10 out of 10 points Tonto Pty Ltd sells one type of dress-up toy. The accounting records for Tonto Pty Ltd showed the following information for the month of April 2016: Cost of goods available for sale for April 2016 $ = 8,013 Number of toys available for sale for April 2016 units = 331 Number of toys in ending inventory 30 April 2016 units = 386 If Tonto Pty Ltd uses the periodic inventory system and the average cost flow assumption, what is the value of ending inventory at 30 April 2016? Selected Answer: 9,344 • Question 8 10 out of 10 points MULTI ANSWER - Which sections of the balance sheet would you refer to when calculating working capital? Selected Answers: a. Current liabilities c. Current assets • Question 9 10 out of 10 points The following information is available for Petal's Flower Shop for the month of May 2016: Costs of goods sold for May decreased 2.1% Inventory turnover ratio for May 2016 is 3.47 Number of business days open in May 2016 is 22 Calculate the number of days in selling period for May 2016. (Express the days to two decimal places e.g. 00.00) Selected Answer: 6.34 • Question 10 10 out of 10 points Twinkles Pty Ltd is a children's clothing wholesaler. The following information is available for Twinkles Ltd for 2016: Beginning total assets 1 January 2016 $ 62,066 Interest expense 2016 $ 4,261 Ending total assets 31 December 2016 $ 33,875 Net income 2016 $ 9,881 Calculate return on assets for Twinkles Pty Ltd for 2016. (Express as a percentage to two decimal places e.g. 00.00) Selected Answer: 29.48 • Question 11 10 out of 10 points The accounting records for Wilson's Car Hire show the following information for 2016: Total sales revenue $ = 98,835 Proportion of credit sales in % = 0.51 Accounts receivable 1 January 2016 $ = 16,857 Accounts receivable 31 December 2016 $ = 6,930 Calculate Accounts Receivable Turnover for Wilson's Car Hire for 2016. (Express to two decimal places e.g. 00.00) Selected Answer: 4.24 • Question 12 10 out of 10 points MULTI ANSWER -A retail business' classified income statement has two parts. These are b. Operating income section c. Other items section • Question 13 10 out of 10 points MULTI ANSWER - External users use the balance sheet to evaluate the business' b. short-term liquidity c. risk d. stability e. long term liquidity • Question 14 10 out of 10 points MULTI ANSWER - Current assets are readily identified as they have which of the following features? Selected Answers: a. Listed in order of liquidity d. Expected to be converted into cash within 12 months • Question 15 10 out of 10 points MULTI ANSWER - Which of the following are three simple controls that safeguard inventory? Selected Answers: a. Establish physical control over inventory while it is being held for sale c. Periodically take a physical count of the inventory to confirm its existence d. Monitor the ordering and acceptance of inventory deliveries Friday, September 23, 2016 2:13:14 PM AEST • Question 1 10 out of 10 points MULTI ANSWER - Which of the following are three simple controls that safeguard inventory? Selected Answers: a. Monitor the ordering and acceptance of inventory deliveries b. Periodically take a physical count of the inventory to confirm its existence d. Establish physical control over inventory while it is being held for sale • Question 2 10 out of 10 points MULTI ANSWER - When a business sets a quantity discount policy, they keep track of the impact in which of the following areas? Selected Answers: a. Sales b. Costs d. Profits • Question 3 10 out of 10 points MULTI ANSWER - Evaluating a business' operating capability provides indicators for Selected Answers: a. predicting future changes in its operating activities c. determining the length of the parts of the business' operating cycle d. measuring how well the business is maintaining its operating level • Question 4 10 out of 10 points Twinkles Pty Ltd is a children's clothing wholesaler. The following information is available for Twinkles Ltd for 2016: Beginning total assets 1 January 2016 $ 70,132 Interest expense 2016 $ 3,527 Ending total assets 31 December 2016 $ 65,677 Net income 2016 $ 37,844 Calculate return on assets for Twinkles Pty Ltd for 2016. (Express as a percentage to two decimal places e.g. 00.00) Selected Answer: 60.93 • Question 5 10 out of 10 points The following information is available for Petal's Flower Shop for the month of May 2016: Costs of goods sold for May decreased 2.1% Inventory turnover ratio for May 2016 is 5.36 Number of business days open in May 2016 is 16 Calculate the number of days in selling period for May 2016. (Express the days to two decimal places e.g. 00.00) Selected Answer: 2.99 • Question 6 10 out of 10 points The following financial information is available for the Tyler Book Shop for January 2016: Beginning inventory 1 January 2016 $ = 7,765 Cost of goods sold for January 2016 $ = 21,704 Ending inventory 31 January 2016 $ = 537 Calculate the inventory turnover ratio for the Tyler book Shop for January 2016. (Express to two decimal places e.g. 00.00) Selected Answer: 5.23 • Question 7 10 out of 10 points MULTI ANSWER - To estimate a business' sales revenue for the following year, a manager looks at the balance sheet values for b. Inventory c. Cash at bank • Question 8 10 out of 10 points MULTI ANSWER -Which of the following actions are prevented if cash is banked daily? Selected Answers: a. Improper recording of bank deposits in the business Cash Account b. Reduces the risk of theft d. Leaving cash unattended overnight • Question 9 10 out of 10 points At the end of May, the Freeway Company's accounting records showed a cash balance of $ = 49,747 When comparing the 31 May bank statement with the business' Cash account, the following items were discovered: Deposits in transit $ = 2,391 Outstanding cheques $ = 2,436 Bank service charges $ = 153 What is the cash balance that is listed on the Freeway Company's 31 May bank statement? (Do not include the dollar sign) Selected Answer: 49,639 • Question 10 10 out of 10 points The following information is relevant to Hewitt's Pty Ltd for the month of March: 1 March, the balance in the Accounts Receivable account was $ = 31,452 Collections from customers totalled $ = 14,156 Credit sales amounted to $ = 30,371 Bad debts written off Accounts Receivable $ = 1,582 Calculate the ending balance of Accounts Receivable at 31 March. Selected Answer: 46,085 • Question 11 10 out of 10 points The Camping-On-The-Go Shop sells one type of portable toilet. During July 2015, opening inventory, purchases and sales of portable toilets were as follows: 1 July 2015 Opening inventory of 100 portable toilets with a unit price of : $ = 51 10 July 2015 Purchases 40 portable toilets for a unit price of : $ = 51 24 July 2015 Sales of 60 portable toilets for a unit selling price of: $ = 48 The Camping-On-The-Go Shop uses the periodic inventory system and a stocktake on 31 July 2015 showed 80 portable toilets in inventory. Assuming the Camping-On-The-Go Shop uses the First In First Out (FIFO) method, what is the total value of the portable toilet inventory on 31 July 2015? Selected Answer: 4,080 • Question 12 10 out of 10 points The following information is available for Pinnacles for the month of August: Sales $ = 51,028 Net Income $ = 3,785 COGS $ = 23,627 Sales Allowances $ = 798 Calculate Pinnacles' Profit Margin ratio for August (Express as a percentage to two decimal places) Selected Answer: 7.54 • Question 13 10 out of 10 points The following information is available for Tailgate Pty Ltd for the 2016 financial year: Sales $ = 35,780 Net Income $ = 7,854 Cost of Goods Sold $ = 19,971 Sales Allowances $ = 1,246 Calculate Tailgate Pty Ltd's 2016 Gross Profit Percentage. (Express as a percentage to two decimal places e.g.00.00) Selected Answer: 42.17 • Question 14 10 out of 10 points Tonto Pty Ltd sells one type of dress-up toy. The accounting records for Tonto Pty Ltd showed the following information for the month of April 2016: Cost of goods available for sale for April 2016 $ = 1,465 Number of toys available for sale for April 2016 units = 762 Number of toys in ending inventory 30 April 2016 units = 304 If Tonto Pty Ltd uses the periodic inventory system and the average cost flow assumption, what is the value of ending inventory at 30 April 2016? Selected Answer: 584 • Question 15 10 out of 10 points MULTI ANSWER - Accounting information helps managers achieve which of the following outcomes on a day-to-day basis? b. To help managers with their decision making c. Increasing the business' value d. Achieve their objective of earning a profit Friday, September 23, 2016 2:26:07 PM AEST

Preview 4 out of 41 pages
Exam
$17.10
Add to wishlist
100% Money Back Guarantee
Download is directly available
Better prepared for your exams
6
0
(0)
Document information
Connected school, study & course
About the document
Course code
Subjects
Uploaded on
May 15, 2019
Number of pages
41
Written in
2017/2018
Type
Exam
Contains
questions_and_answers
Seller
SILVER  
all_academic
Member since 1 year ago
120 documents sold
Reviews received:
11
6
7
5
7

The best study guides

Avoid resits and achieve higher grades with the best study guides, textbook notes, and class notes written by your fellow students.
Avoid resits
With the study guides and notes written by fellow students, you are guaranteed to be properly prepared for your exams. Over 350,000 specific notes are at your disposal. Your fellow students know exactly where the pitfalls lie and what the key elements will be to your success in that module. With their assistance, you can become well prepared and can avoid having to retake exams.
Get better grades
Thanks to the study guides written by fellow students specifically for your courses, you will never miss a trick when it comes to your exams. No generic book summaries, but the specific content you need to ace your exams.
Earn while you study
Have you written lots of study guides or notes? Earn hundreds of dollars each month by selling your written material to your fellow students. Last year students earned over $ 500,000 from selling their work to other students.
×