3:23IR1_MIDTERM_20201.pdf31. While preparing the, 2017 trial balance, Rome Company's accountant committed the following errors:omission of the prepaid rent account amounting to P4,000; understatement of the inventory account byP72,000; overstatement of the sales account by P1,500; accounts receivables totaling to P123,000 wasincluded in the trial balance as P213,000; accounts payable totaling to P153,000 was included as P135,000;discount on bonds payable was included as a credit rather than as a debit, P1,500; Revenue expenditures ofP35,000 was erroneously capitalized to furniture and fixtures.The difference between the debit and credit amounts in Rome Company's trial balance isа. Р2,500b. P26,000c. P7,500d. P27,50032. The following items were taken from Paris Company's adjusted trial balance; except for its land and buildingaccounts5/12200,000120,00035,00020,00049,500400,000410,00065,00090,000In Paris Company's post-closing trial balance, the credit total would amount to300,000420,00011,00011,50075,000800,00023,00035,00045,000Accounts receivableAccounts payableAccrued Interest ExpensesAccrued Interest RevenueInventoryParis, capitalPrepaid suppliesRent revenueSalaries expensePAdvances from customersCost of salesSalesFurniture and fixturesInterest expenseSales returns and allowancesUnearned rent incomeUtilities expenseInterest revenue.a. P903,500b. Р938,000с. Р1,561,000d. P953,00033. Lucerne Cómpany reported the following changes during the current yearIncreaseIncrease(Decrease)P 400,000300,00050,000(150,000)Accounts payableBonds payableDiscount on bonds payableCommon stock(Decrease)80,000(100,000)(10,000)120,000CashAccounts receivableAllowance for bad debtsInventory60 000. 3:31IR1_MIDTERM_20201.pdf33. Lucerne Cómpany reported the following changes during the current yearIncreaseIncrease(Decrease)P 400,000300,00050,000(150,000)(50,000)1,000,000100,000(Decrease)80,000(100,000)(10,000)120,00060,00030,000Accounts payableBonds payableDiscount on bonds payableCashAccounts receivableAllowance for bad debtsCommon stockInventoryPrepaid rentPlant and equipmentAccumulated depreciationThere were no other entries in the Retained earnings account except for the dividend declaration of P50,00 5/12which was paid in the current yearNet income for the yearPremium on common stockTreasury stock at costs.a. P1,200,000b. P1,260,000c. P1,280,000d. P1,360,000Use the following information for numbers 34 and 35On April 12. 2017 unon the receint of the Manah 2017 L-1II

Trial balance means a statement which is prepared showing all balance of all ledgers accounts…

31. While preparing the. 2017 trial balance, Rome Company's accountant committed the following errors: omission of the prepaid rent account amounting to P4,000; understatement of the inventory account by P72,000; overstatement of the sales account by P1,500; accounts receivables totaling to P123,000 was included in the trial balance as P213,000; accounts payable totaling to P153,000 was included as P135,0003; discount on bonds payable was included as a credit rather than as a debit, P1,500; Revenue expenditures of P35,000 was erroneously capitalized to furniture and fixtures. The difference between the debit and credit amounts in Rome Company's trial balance is a. P2,500 b. P26,000 c. P7,500 d. P27,500

31. While preparing the. 2017 trial balance, Rome Company's accountant committed the following errors: omission of the prepaid rent account amounting to P4,000; understatement of the inventory account by P72,000; overstatement of the sales account by P1,500; accounts receivables totaling to P123,000 was included in the trial balance as P213,000; accounts payable totaling to P153,000 was included as P135,0003; discount on bonds payable was included as a credit rather than as a debit, P1,500; Revenue expenditures of P35,000 was erroneously capitalized to furniture and fixtures. The difference between the debit and credit amounts in Rome Company's trial balance is a. P2,500 b. P26,000 c. P7,500 d. P27,500

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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