18. A truck was acquired for RM96,000 on 1 Jan 2020. The truck is expected to be replaced with a newer model at the end of its fifth year with a trade-in value estimated to be around RM21,000. The value of the truck and its accumulated depreciation at the end of the third year, are shown as: Truck RM57,600; Accumulated Depreciation RM57,500 В. А. Truck RM75,000; Accumulated Depreciation RM75,000 Truck RM45,000; Accumulated Depreciation RM51,000 Truck RM51,000; Accumulated Depreciation RM45,000 An office building with an acquisition cost of RM960,000 on 1 April 2019 is depreciated at 10% per annum. The necessary adjusting entry for the period ended at 31 December 2019 is Debit (RM) Credit (RM) Depreciation Expense Accumulated Depreciation Depreciation Expense Accumulated Depreciation Accumulated Depreciation Depreciation Expense Accumulated Depreciation Depreciation Expense A. RM72,000 RM72,000 В. RM96,000 RM96,000 С. RM72,000 RM72,000 D. RM96,000 RM96,000 20. The balance in the Office Supplies account before adjustment at 31 December 2019 was RM48,000. A physical check on office supplies has indicated an available balance of RM8,000. The adjusting entry necessary is: Debit (RM) RM8,000 Credit (RM) Office Supplies Expense Office Supplies Office Supplies Office Supplies Expense Office Supplies Expense Office Supplies Office Supplies Expense А. RM8,000 В. RM40,000 RM40,000 С. RM40,000 RM40,000 D. RM48,000 Office Supplies RM48.000
18. A truck was acquired for RM96,000 on 1 Jan 2020. The truck is expected to be replaced with a newer model at the end of its fifth year with a trade-in value estimated to be around RM21,000. The value of the truck and its accumulated depreciation at the end of the third year, are shown as: Truck RM57,600; Accumulated Depreciation RM57,500 В. А. Truck RM75,000; Accumulated Depreciation RM75,000 Truck RM45,000; Accumulated Depreciation RM51,000 Truck RM51,000; Accumulated Depreciation RM45,000 An office building with an acquisition cost of RM960,000 on 1 April 2019 is depreciated at 10% per annum. The necessary adjusting entry for the period ended at 31 December 2019 is Debit (RM) Credit (RM) Depreciation Expense Accumulated Depreciation Depreciation Expense Accumulated Depreciation Accumulated Depreciation Depreciation Expense Accumulated Depreciation Depreciation Expense A. RM72,000 RM72,000 В. RM96,000 RM96,000 С. RM72,000 RM72,000 D. RM96,000 RM96,000 20. The balance in the Office Supplies account before adjustment at 31 December 2019 was RM48,000. A physical check on office supplies has indicated an available balance of RM8,000. The adjusting entry necessary is: Debit (RM) RM8,000 Credit (RM) Office Supplies Expense Office Supplies Office Supplies Office Supplies Expense Office Supplies Expense Office Supplies Office Supplies Expense А. RM8,000 В. RM40,000 RM40,000 С. RM40,000 RM40,000 D. RM48,000 Office Supplies RM48.000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
question no 12,13,18,19,20
Transcribed Image Text:A truck was acquired for RM96,000 on 1 Jan 2020. The truck is expected to be replaced with
a newer model at the end of its fifth year with a trade-in value estimated to be around
RM21,000. The value of the truck and its accumulated depreciation at the end of the third
year, are shown as:
Truck RM57,600; Accumulated Depreciation RM57,500
В.
18.
А.
Truck RM75,000; Accumulated Depreciation RM75,000
С.
Truck RM45,000; Accumulated Depreciation RM51,000
D.
Truck RM51,000; Accumulated Depreciation RM45,000
19.
An office building with an acquisition cost of RM960,000 on 1 April 2019 is depreciated at
10% per annum. The necessary adjusting entry for the period ended at 31 December 2019 is
Debit (RM) Credit (RM)
Depreciation Expense
Accumulated Depreciation
Depreciation Expense
Accumulated Depreciation
Accumulated Depreciation
Depreciation Expense
D. Accumulated Depreciation
Depreciation Expense
А.
RM72,000
RM72,000
В.
RM96,000
RM96,000
С.
RM72,000
RM72,000
RM96,000
RM96,000
The balance in the Office Supplies account before adjustment at 31 December 2019 was
RM48,000. A physical check on office supplies has indicated an available balance of
RM8,000. The adjusting entry necessary is:
20.
Debit (RM)
RM8,000
Credit (RM)
Office Supplies Expense
Office Supplies
Office Supplies
Office Supplies Expense
Office Supplies Expense
Office Supplies
Office Supplies Expense
Office Supplies
А.
RM8,000
В.
RM40,000
RM40,000
С.
RM40,000
RM40,000
D.
RM48,000
RM48,000
Transcribed Image Text:12.
The record for office supplies was not adjusted at the end of an accounting period. This will
cause which of the followings?
А.
В.
A liability is overstated; an expense is understated.
An asset is overstated; an expense is understated.
An asset is understated; a liability is understated.
D.
С.
A liability is understated; an asset is overstated.
A journal entry was wrongly debited to an asset account instead of the accumulated
depreciation account. This will cause which of the followings?
Total depreciation will be overstated.
Total expenses will be understated.
Total assets will be overstated.
13.
A.
В.
С.
D.
Total liabilities will be overstated
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 2 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education