VIETNAM NATIONAL UNIVERSITY, HANOI MID-TERM EXAM QUESTIONS

INTERNATIONAL SCHOOL MODULE: PRINCIPLES OF ACCOUNTING

TIMING: 120 MINUTES

Question 1:

Mount Prospect Nursery School Company provides baby-sitting and child-care

programs. During the month of February, the company completed the following
transactions:
Date Transactions
1 Shareholders contribute $ 15,000 cash for share capital
2 Paid this month’s rent, $270.
3 Peformed services on credit, $850.
4 Purchased supplies in cash, $100.
5 Customer paid for services provided on February 3.
6 Ordered playground equipment, $1,200.
13 Purchased and received playground equipment ordered on February
6 for cash, $1,200.
19 Paid this month’s utility bill, $120.
26 Paid part-time assistants for services, $660.
28 Billed customers who had not yet paid for this month’s services,
$900.

Required:
1. Record transactions in General Journal
2. Posting the transactions to the Ledgers (T accounts) and calculating ending
balances for all T accounts.
3. Prepare Trial Balance
Question 2:

Scoop Consulting Service’s trial balance on December 31, 2014, is as follows.

The following information is also available:

a. Prepaid rent expired, $ 820
a. Office supplies on hand, $664
c. Accrued interest expense (6% per year) of note payable at the end of the period
d. Service revenue still unearned at the end of the period, $1,800
e. Accrued salaries at the end of the period, $830
f. Service revenue earned but unrecorded, $3,500

Required:
1. Record transactions in General Journal
2. Posting the transactions to the Ledgers (T accounts) and calculating the
ending balances of T accounts.
3. Prepare Adjusted Trial Balance
4. Prepare Income Statement, Statement of Retained Earning, and Statement of
Financial Position.