Sir Dave’s classroom quiz bee number 3 questions

1. The normal balance of an account is on the

a. plus side.
b. left side.
c. debit side.
d. right side.

2. An accountant wanting to know the balance of a particular account would

refer to the
a. ledger.
b. chart of accounts.
c. book of original entry.
d. source document.
e. journal

3. If total credits exceed total debits in the Balance Sheet columns of a

worksheet,
a. a mistake has been made.
b. a net income has occurred.
c. assets exceed liabilities.
d. a net loss has occurred.

4. Summary posting from the sales journal normally would be completed in

which of the following orders?
a. Accounts Receivable, Sales, and Sales Tax Payable columns
b. Sales Tax Payable, Sales, and Accounts Receivable columns
c. Sales, Sales Tax Payable, and Accounts Receivable columns
d. Accounts Receivable, Sales Tax Payable, and Sales columns

5. First Statement: The adjustment for salaries owed but not yet paid to
employees will decrease the balance in the Salary Expense account.
Second Statement: A company made most of its first year's sales on account, but
it did not make the adjusting entry providing for doubtful accounts expense. As a
result, assets and owner's equity/proprietorship are understated.
a. First statement is true, second statement is false
b. First statement is false, second statement is true
c. Both statements are false
d. Both statements are true

6. First Statement: Each special journal allows for a wide variety of

transactions.
Second Statement: Most transactions entered in a special journal use a single line,
with the debit and credit amounts indicated in special columns provided for each
account.
a. First statement is true, second statement is false
b. First statement is false, second statement is true
c. Both statements are false
d. Both statements are true
7. First Statement: A wholesale business allows customers to enter the store,
select the merchandise they want, and bring it to a sales clerk.
Second Statement: For merchandising businesses, the term "purchases" refers
only to merchandise acquired for resale.
a. First statement is true, second statement is false
b. First statement is false, second statement is true
c. Both statements are false
d. Both statements are true

8. First Statement: Nonmanufacturing costs are generally classified into two

categories: selling and administrative.
Second Statement: When the goods are sold, their costs are transferred from
Work in Process to Finished Goods.
a. First statement is true, second statement is false
b. First statement is false, second statement is true
c. Both statements are false
d. Both statements are true

9. For the merchant, bank credit card sales are treated in a manner similar to
a. sales on account.
b. cash sales.
c. installment sales.
d. layaway sales.
10. First Statement: Direct labor is also referred to as touch labor because
laborers often physically touch the product.
Second Statement: The most common accounting treatment of underapplied
manufacturing overhead is to transfer it to the Manufacturing Overhead Control
account.
a. First statement is true, second statement is false
b. First statement is false, second statement is true
c. Both statements are false
d. Both statements are true

11. Merchandise is sold on account for P90, and the sale is subject to a retail
sales tax of P5.40. The sales account should be credited for
a. P84.60.
b. P90.00.
c. P95.40.
d. P93.60.

The next question is good for 2minutes (120 seconds).

12. Mary, an active partner in the BA partnership receives an actual bonus of
25% of the partnership net income after deducting the bonus. For the year ended
July 31, 2018, the partnership net income before the bonus amounted to
P300,000.

Mary’s bonus for the year ended July 31, 2018 should be:
a. P60,000
b. P56,250
c. P 62,500
d. P 75,000

The next question is good for 2minutes (120 seconds).

13. Mitor Company reports the following costs and expenses in May:

Factory utilities P 15,600

Depreciation on factory equipment 12,650
Depreciation on delivery trucks 8,800
Indirect factory labor 48,900
Indirect materials 80,800
Direct materials used 137,600
Factory manager’s salary 13,000
Direct labor 89,100
Sales salaries 46,400
Property taxes on factory building 2,500
Repairs to office equipment 2,300
Factory repairs 2,000
Advertising 18,000
Office supplies used 5,640

How much is the total manufacturing overhead cost? (write your answer in the
answer sheet, ignore peso sign)
The next question is good for 2minutes (120 seconds).
14. In connection with #13, how much is the total product costs? (write your
answer in the answer sheet, ignore peso sign)
You sent Yesterday at 8:30 PM
The next question is good for 2minutes (120 seconds).
15. Still in connection with #13, how much is the total period costs? (write your
answer in the answer sheet, ignore peso sign)
You sent Yesterday at 8:33 PM
16. Amounts are posted individually from the purchases journal to the
a. Credit column of the creditors' accounts in the accounts payable ledger.
b. Credit column of the Inventory account in the general ledger.
c. Credit column of the Accounts Receivable account in the general ledger.
d. Debit column of the Cash account in the general ledger.

The next question is good for 3minutes (180 seconds).

17. The NG Partnership was formed on March 1, 2018. The partnership
agreement of Norma and Gerry provides that interest of 10% per annum is to be
credited to each partner on the basis of weighted-average-capital balances. A
summary of Norma’s capital account transactions for the year ended December
31, 2018 is as follows:

Balance, March 1 P140,000

Additional investment, July 1 40,000
Capital withdrawal , August 1 (15,000)
Balance, December 31 P165,000
What amount of interest should be credited to Norma’s capital account for 2018?
a. P 10,868
b. P 15,650
c. P 13,042
d. P 9,657

The next question is good for 2minutes (120 seconds).

18. Partners AA, BB, and CC divide profits and losses 5:3:2, respectively, and
their balance sheet on September 30,2018 are as follows:
ABC Partnership
Balance Sheet
September 30, 2018
Cash P80,000
Other assets720,000
Total assets P800,000
Accounts payable P200,000
AA, capital 148,000
BB, capital 260,000
CC, capital 192,000
Total liabilities and capital P800,000

The assets and liabilities are recorded at approximate current fair vales. DD is to
be admitted as a new partner with a 20% interest in capital and earnings in
exchange for a cash investment. Goodwill or bonus will not be considered.
How much cash should DD contribute?
a. 120,000
b. 144,000
c. 150,000
d. 160,000

The next question is good for 2minutes (120 seconds).

19. On March 1, 2008, II and JJ formed a partnership with each contributing the
following assets:

II JJ
Cash P300,000 P 700,000
Machinery & equipment 250,000 750,000
Building - 2,250,000
Furniture and fixtures 100,000 -

The building is subject to mortgage loan of P800,000, which is not to be assumed

by the partnership. Agreement provides that II and JJ share profits and losses 30%
and 70%, respectively. On March 1, 2008 the balance in JJ's capital account should
be:
On March 1, 2008 the balance in JJ's capital account should be:
a. 3,700,000
b. 3,140,000
c. 3,050,000
d. 2,900,000
20. When the current year's ending inventory amount is overstated, the
a. current year's cost of goods sold is overstated.
b. current year's total assets are understated.
c. current year's net income is overstated.
d. next year's income is overstated.

The next question is good for 5minutes (300 seconds).

21. Inggo., a manufacturer, had inventories at the beginning and end of its
current year as follows:

Beginning End
Raw materials P11,000 P15,000
Work in process 20,000 24,000
Finished goods 12,500 9,000

During the year, the following costs and expenses were incurred:
Raw materials purchasedP 150,000
Direct labor cost 60,000
Indirect factory labor 30,000
Taxes and depreciation on factory building 10,000
Taxes and depreciation on sales room and office 7,500
Sales salaries 20,000
Office salaries 12,000
Utilities (60% applicable to factory, 20% to
sales room, and 20% to office) 25,000
Inggo’s cost of goods sold for the year is
a. P257,000
b. P260,500
c. P261,000
d. P269,500

22. (Identification) A partnership where one partner is a limited partner

23. (Identification) A partnership characteristic which authorizes a partner to

act and thereby bind the partnership

24. First Staement: Mutual agency in a partnership means that partnership

decisions may be made by any one of the partners.
Second Statement: An ostensible partner is both a silent and a secret partner.
a. First statement is true, second statement is false
b. First statement is false, second statement is true
c. Both statements are false
d. Both statements are true

25. (Identification) A partnership that continues even after the time specified in
the articles of co-partnership
28. A partner who does not take active part in the business and is not known to
be a partner.
a. sub-partner
b. dormant partner
c. retiring partner
d. ostensible partner

29. A disadvantage that is NOT peculiar to the partnership form of organization

includes
a. each partner is individually liable for all of the debts of the partnership.
b. the interest of a partner in the partnership cannot be transferred without
the consent of the other partners.
c. termination of the partnership agreement, bankruptcy of the firm, or death
of one of the partners dissolves the partnership.
d. the partners do not make the decisions that run the business.

The next question is good for 4minutes (240 seconds).

31. The partnership agreement of Abastar, Bacon, and Caasi provides for the
year-end allocation of net income in the following order:
 First, Abastar is to receive 10% of net income up to P135,000 and 20% over
P135,000.
 Second, Bacon and Caasi each are to receive 5% of the remaining income
over P202,500.
 The balance of income is to be allocated equally among the three partners.
The partnership’s 2020 net income was P337,500 before any allocations to
partners.
What amount should be allocated to Abastar?
a. P136,350
b. P148,500
c. P145,800
d. P139,050

The next question is good for 4minutes (240 seconds).

32. The balance sheet as of July 31, 2020 for the business owned by M. Raposas
shows the following assets and liabilities:

Cash P19,125
Accounts receivable 76,500
Merchandise inventory 114,750
Fixtures 137,700
Accounts payable 45,900

It is estimated that 5% of the receivables may prove uncollectible. Merchandise

inventory includes obsolete items costing P38,250 of which P15,300 might still be
realized. Depreciation has never been recorded: the fixtures are two years old,
has an estimated useful life of 10 years, and would cost P153,000 if currently
purchased. J. Sison is to be admitted as a partner upon his investment of
P153,000 cash and P76,500 worth of merchandise. What is the total assets of the
partnership?
a. P539,325
b. P566,100
c. P367,200
d. P516,375
33. The basis on which profits and losses are to be shared between partners is
a. a matter of agreement between the partners.
b. the same as their investment ratio.
c. the same as their withdrawal ratio.
d. always equal between all partners.

34. In the absence of any agreement between partners, profits and losses must
be shared
a. equally among all partners.
b. on the basis of the ratio of the partners' investment.
c. on the basis of the ratio of the partners' withdrawal.
d. in accordance with local custom of the place.

35. How did you find the test tonight?

a. Sino ako? Anong pangalan ko? Waaahhh!!!
b. It’s ok.
c. Where is my brain?
d. Yes! Sigurado bunos itong item na ‘to kaya may one point na ako!