CONFIDENTIAL

FINAL EXAMINATION
JUNE SEMESTER 2020

BASIC ACCOUNTING I
(ACCT 1001D)
(TIME: 5 HOURS)

MATRIC NO. :
:
IC. / PASSPORT NO. :

LECTURER : NURUL FITRI BINTI MOHD NOOR

GENERAL INSTRUCTIONS

1. This question booklet consists of 8 printed pages including this page.

2. Answer ALL questions the ANSWER BOOKLET.
3. PLEASE DO NOT TURN THIS PAGE AND START THE EXAM UNTIL YOU ARE
TOLD TO DO SO.

CONFIDENTIAL

Page 1 of 8
___________________________________________________________________________
ACCT1001D/June2020 Page 1 of 8
INSTRUCTIONS: TIME: 5 HOURS
___________________________________________________________________________

Answer All Questions in the Answer Booklet. (100 MARKS)

SECTION A (15 MARKS)

There are FIFTHTEEN (15) questions in this section. Answer all questions in the Answer
Booklet.

1. Accounting can be define as _____________.

A. the process of classifying, recording, and summarizing business transactions in monetary
units and interpreting the financial data of a business in order to assist stakeholders in
making decisions.
B. the process of classifying, recording and summarizing business transactions.
C. all business transaction are recorded in chronological order.
D. the process to prepare business financial statements in order to evaluate the performance
of the business.

2. Accounting involves the following phases EXCEPT ______________.

A. classifying and recording
B. summarizing
C. analysing and interpreting
D. purchasing

3. Which of the following statements is INCORRECT?

A. Assets – Capital = Liabilities
B. Liabilities + Capital = Assets
C. Liabilities + Assets = Capital
D. Assets – Liabilities = Capital

4. Which of the following is NOT an asset?

A. Buildings
B. Cash balance
C. Debtors
D. Loan from K Harris

5. Which of the following is a liability?

A. Machinery
B. Creditors for goods
C. Motor vehicles
D. Cash at bank

___________________________________________________________________________
ACCT1001D/June2020 Page 2 of 8
6. We paid a creditor by cheque. Which of the following statement is CORRECT?
A. There is a decrease in both assets and liabilities
B. There is an increase in both assets and liabilities
C. There is a decrease in assets and an increase in liabilities
D. There is no effect on assets

7. Which of the following describes “Unearned Revenue”?

A. Revenue not yet received, even though the service has been provided to the customer.
B. Costs that are not paid even though goods were received or services were used.
C. Money received in advance for services to be provided to the customers in future period.
D. Costs that were paid for in the accounting period but the goods or services will only
used in the following accounting period.

8. “Accrued Revenue’’ known as ________________.

A. Money received in advance for services to be provided to the customers in future period.
B. Revenue not yet received, even though the service has been provided to the customer.
C. Revenue not yet received and services not been performed yet.
D. Money has been received for the service that has been performed.

9. Jason has the following items in his balance sheet as at 31 August 2020: Assets RM19,600
and Capital RM16,450. How much will be the company’s liabilities?
A. RM36,050
B. RM3,150
C. RM3,050
D. RM36,150

10. Given the following, what is the amount of Capital? Assets: Premises RM20,000; Stock
RM8,500; Cash RM100. Liabilities: Creditors RM3,000; Loan from Adam RM4,000.
A. RM21,100
B. RM21,600
C. RM32,400
D. RM21,400

11. Revenues are recognised and recorded when goods or services are sold or provided
regardless of whether cash has been received or not, while expenses will be recorded when
the goods or services were used in the accounting period regardless of whether it has been
paid for or not. The above statement refers to _________.
A. Entity concept
B. Matching principle
C. Cash basis rule
D. Accrual basis rule

___________________________________________________________________________
ACCT1001D/June2020 Page 3 of 8
12. Revenues earned in an accounting period must be matched against the expenses incurred
in order to generate revenues in the same period. The above statement refers to ________.
A. Entity concept
B. Matching principle
C. Cash basis rule
D. Accrual basis rule

13. Expenses that were paid for in the current accounting period but the good or services will
only be used in the following accounting period.
The above statement refers to __________.
A. Prepaid expenses
B. Unearned revenue
C. Accrued expenses
D. Accrued revenue

14. Given figures showing: - Sales RM8,200; Opening stock RM1,300; Closing stock RM900;
Purchases RM6,400; Carriage inwards RM200. The cost of goods sold is ___________.
A. RM6,800
B. RM6,200
C. RM7,000
D. RM1,200

15. A firm bought a machine for RM16,000. It is expected to be used for 5 years then sold for
RM1,000. What is the annual amount of depreciation if the straight-line method is used?
A. RM3,200
B. RM3,100
C. RM3,750
D. RM3,000

___________________________________________________________________________
ACCT1001D/June2020 Page 4 of 8
SECTION B (85 MARKS)

There are FOUR (4) questions in this section. Answer ALL Questions in the Answer
Booklet

QUESTION 1 (15 MARKS)

Mufasa opened an accounting and tax consultant office on 1 May 2020. On 31 May 2020
account shows following balances:

Cash RM1,000
Account Receivable RM1,500
Supplies RM 200
Office Equipment RM2,000
Account Payable RM2,000.

During month of June the following transaction occurred:

June 2 Collected of RM500 of accounts receivable by cash

6 Paid RM1,000 cash on accounts payable
7 Earned fees RM5,000 of which RM2,000 is collected in cash and the balance
due in August
11 Purchased additional office equipment for RM2,800, paying RM1,800 in cash
and the balance on credit
13 Received RM8,000 from Standard Bank by signing notes payable.
19 Billed customer for RM2,300 for services provided
21 Withdrew RM1,700 cash for personal use
28 Paid salaries RM3,200 advertising expense RM400 and utility expenses
RM250

Required:

a) Prepare the tabular analysis for the accounting equation and calculate the ending
balance at 31 June 2020, for each account involved.

ASSETS = LIABILITIES + OWNER’S EQUITY

(12 marks)
(CLO1:PLO1:C3)
b) Compute the net income or net loss in a month of June.
(3 marks)
(CLO1:PLO1:C3)

___________________________________________________________________________
ACCT1001D/June2020 Page 5 of 8
QUESTION 2 (25 MARKS)

Baju Cantique Sdn Bhd is a trading company that sells various types of women blouse. Below
is the trial balance of the company at the end of accounting period:

Baju Cantique Sdn Bhd

Trial balance as at 30 April 2020
Accounts RM RM
Debit Credit
Sales 100,000
Purchases 45,000
Return inwards 100
Return outwards 140
Carriage outwards 330
Opening inventory 1,200
Utilities expenses 200
Discount allowed 130
Discount received 180
Salary expenses 3,400
Repairs expenses 690
Stationary expenses 300
Account receivable 8,000
Account payable 13,000
Long term loan 10,000
Bank 19,500
Cash 500
Motor vehicle 30,000
Furniture 20,400
Capital 7,230
Drawings 800
TOTAL 130,550 130,550

Additional information:
Inventory as at 30 April 2020 is RM3,000

Required:

Prepare the following for Baju Chantique Sdn Bhd:

a) Statement of Profit or Loss for the month ended 30 April 2020.

(10 Marks)
(CLO2:PLO2:C3)
b) Statement of Owner’s Equity as at 30 April 2020.
(5 Marks)
(CLO2:PLO2:C3)
c) Statement of Financial Position as at 30 April 2020.
(10 Marks)
(CLO2:PLO2:C3)

___________________________________________________________________________
ACCT1001D/June2020 Page 6 of 8
QUESTION 3 (25 MARKS)

The adjusted trial balance of Maximus Services Sdn Bhd. appears as below:

Maximus Services Sdn Bhd

For the Quarter Ended 31 March 2020

Accounts RM RM
Dr. Cr.
Cash 11,400
Account Receivable 5,620
Supplies 1,050
Prepaid Insurance 2,400
Equipment 30,000
Notes Payable 10,000
Accounts Payable 12,350
Common Shares 20,000
Dividends 600
Service Revenue 13,620
Service Expense 2,200
Travel Expense 1,300
Rent Expense 1,200
Miscellaneous Expense 200
TOTAL 55,970 55,970

Other information:

i. Supplies on hand, 31 March 2020 is RM380.

ii. Depreciation is RM250 per month.
iii. Interest accrued, RM300.
iv. Insurance expires at the rate of RM200 per month.
v. Services provided but unbilled RM530.

Required:

Using the information above, prepare:

a) Journalize adjusting entries.

(8 marks)
(CLO2:PLO2:C3)

b) Complete the worksheet by using the worksheet provided. (Appendix 1)

(15 marks)
(CLO2:PLO2:C3)

c) Lists FOUR (4) types of adjustments

(2 marks)
(CLO2:PLO2:C3)

___________________________________________________________________________
ACCT1001D/June2020 Page 7 of 8
QUESTION 4 (20 MARKS)

Mamat Store Sdn Bhd developed the following information in recording its bank statement
for the month of March 2020.

Balance per books March 31 RM 2,905

Balance per bank statement March 31 RM10,900
—————————————————————————————————————
1) Cheque written in March but still outstanding RM7,000.
2) Cheque written in February but still outstanding RM2,800.
3) Deposits of March 30 and 31 not yet recorded by bank RM5,200.
4) NSF cheque of customer returned by bank RM1,200.
5) Cheque No. 210 for RM594 was correctly issued and paid by bank but incorrectly entered
in the cash payments journal as payment on account for RM549.
6) Bank service charge for March was RM50.
7) A payment on account was incorrectly entered in the cash payments journal and posted
to the accounts payable subsidiary ledger for RM824 when Cheque No. 318 was correctly
prepared for RM284. The cheque cleared the bank in March.
8) The bank collected a note receivable for the company for RM4,000 plus RM150 interest
revenue.

Required:

Prepare the following for Mamat Store Sdn Bhd:

a) Adjusted Bank Account.

(10 Marks)
(CLO1:PLO1:C3)

b) Bank Reconciliation as at 31 March 2020.

(10 Marks)
(CLO1:PLO1:C3)

*** END OF QUESTIONS ***

___________________________________________________________________________
ACCT1001D/June2020 Page 8 of 8
 Appendix 1
Maximus Services Sdn Bhd
Worksheet
Account Trial Balance Adjustment Adjusted Trial
Balance
Dr Cr Dr Cr Dr Cr

___________________________________________________________________________
ACCT1001D/June2020 Page 9 of 8