BÀI THẢO LUẬN FINANCIAL ACCOUNTING 1

BÀI THẢO LUẬN FINANCIAL ACCOUNTING 1 BÀI THẢO LUẬN FINANCIAL ACCOUNTING 1 BÀI THẢO LUẬN FINANCIAL ACCOUNTING 1 BÀI THẢO LUẬN FINANCIAL ACCOUNTING 1 BÀI THẢO LUẬN FINANCIAL ACCOUNTING 1 BÀI THẢO LUẬN FINANCIAL ACCOUNTING 1 BÀI THẢO LUẬN FINANCIAL ACCOUNTING 1 BÀI THẢO LUẬN FINANCIAL ACCOUNTING 1 BÀI THẢO LUẬN FINANCIAL ACCOUNTING 1 BÀI THẢO LUẬN FINANCIAL ACCOUNTING 1 BÀI THẢO LUẬN FINANCIAL ACCOUNTING 1 BÀI THẢO LUẬN FINANCIAL ACCOUNTING 1 BÀI THẢO LUẬN FINANCIAL ACCOUNTING 1

TRƯỜNG ĐẠI HỌC THƯƠNG MẠI KHOA KẾ TOÁN-KIỂM TOÁN  BÀI THẢO LUẬN FINANCIAL ACCOUNTING Lớp học phần: 20713EACC0811 Nhóm Giảng viên: Phạm Thanh Hương DANH SÁCH THÀNH VIÊN NHÓM STT HỌ VÀ TÊN MÃ SINH VIÊN Nguyễn Hương Giang 18D155029 Nguyễn Thị Thanh Giang 18D155032 Đặng Khánh Hà 18D155009 Đặng Thanh Hà 18D155010 Kiều Thanh Hằng 18D155011 TrầnThị Thu Huệ 18D155028 Bùi Thị Xuân Hương 18D155012 Đỗ Quang Huy 18D155038 Tống Trọng Khang 18D155013 Nguyễn Khánh Linh 18D155037 QUESTION Question 1: The information below relates to inventory item X June 30 units held in opening inventory at a cost of $40 per unit 15 50 units purchased at a cost of $30 per unit 23 60 units sold at a selling price of $60 per unit 30 40 units purchased at a cost of $25 per unit Under AVCO, what is the value of inventory held for item X at the end of June 30? A $1850 B $2450 C $1870 D $1240 Question 2: A firm has the following transactions with it product X January 20X1 opening inventory: nil February 20X1 buys 10 units at $200 per unit 11 February 20X1 buys 12 units at $220 per unit April 20X1 sells units at $350 per unit August 20X1 buys units at $180 per unit December 20X1 sells 10 units at $400 per unit The firm uses periodic weights average cost to value its inventory What is the inventory value at the end of the year? A $1886.25 B $2432.78 C $1425.56 D $1846.67 Question 3: The inventory value for the financial statements of Q for the year ended 31 December 20X4 was based on an inventory count on January 20X5, which gave a total inventory value of $724,800 Between 31 December and January 20X5, the following transactions took place: $ Purchases of goods 9,200 Sales of goods (profit margin 30% on sales) 18,000 Goods returned by Q to supplier 600 What adjusted figure should be included in the financial statements for inventories at 31 December 20X4? A $734,300 B $853,200 C $728,800 D.$756,800 Question Infomation relating to Lauren Co’s transactions for the month of May 20X4 is shown below: Sale (including tax) $160000 Purchase (net of sales tax) $85000 Sale tax is charged at a flat rate of 20% Lauren Co’s sales tax account had a zero balance at the beginning of the month and at the end of the month Lauren Co’s sales for the month of $160000 included $30000 of sales exempt from sales tax What was the total sales tax paid to regulatory authorities at the end of May 20X4 (to the nearest $)? A 26332 B 26223 C 26323 D 26233 Question The inventory value for the financial statements of Global Inc for the year ended 30 June 20X3 was based on a inventory count on July 20X3, which gave a total inventory value of $960000 Between 30 June and July 20X6, the following transactions took place Purchase of goods $11850 Sale of goods (mark-up on cost at 15%) $14000 Goods returned ny Global Inc to supplier $1550 What figure should be included in the financial statements for inventories at 30 June 20X3? A 961,837 B 961,378 C 961,387 D 961,873 Question An inventory record shows the following details: March 20 units in stock at a cost of $40 per unit 80 units purchased at a cost of $42 per unit 10 70 units sold 20 60 units purchased at a cost of $50 per unit 28 65 units sold What is the value of inventory at 28 March using the AVCO method? A 1118,75 B 2098,75 C 2098,57 D 1118,57 Question 7: A company has decided to switch from using the FIFO method of inventory valuation to using the AVCO method In the first accounting period where the change is made, opening inventory valued by the FIFO method was $60200 Closing inventory valued by the AVCO method was $69800 Total purchase and during the period were $140500 Using AVCO method, opening inventory would have been valued at $66200 What is the cost of materials that should be included in the statement of profit or loss for the period? A $136,900 B $136,090 C $139,600 D $196,300 Question 8: Peter buys and sells washing machines He has been trading for many years On January 20X7, his opening inventory is 30 washing machines which cost $9,500 He purchased 65 machines in the year amounting to $150,000 and on 31 December 20X7 he has 25 washing machines left in inventory with a cost of $7,500 Peter has sold 70 machines with a sales value of $215,000 in the year Calculate the gross profit for the year ended 31 December 20X7 A $70,500 B $63,000 C $60,500 D $54,000 Question 9: A trader starts in business and by the end of his first year he has purchased goods costing $21,000 and has made sales totaling $25,000 Goods which cost him $3,000 have not been sold by the end of the year What profit has he made in the year? A $7,000 B $7,500 C $4,000 D $4,500 Question 10: The Delta company uses a periodic inventory system The beginning balance of inventory and purchases made by the company during the month of July, 2016 are given below: July 01: Beginning inventory, 500 units @ $20 per unit July 18: Inventory purchased, 800 units @ $24 per unit July 25: Inventory purchased, 700 units @ $26 per unit The Delta company sold 1,400 units during the month of July Required: Compute inventory on July 31, 2016 and cost of goods sold for the month of July using following inventory costing methods: First in, first out (FIFO) method? A $41,800 B $21,800 C $31,800 D $10,800 Question 11 The closing inventory at cost of Vina skirt at 31/01/20X3 amounted to $300,700 The following items were included at cost in the total: 400 hats, which had cost $50 each and normally sold for $80 each Owing to a defect in manufacture, they were all sold after the reporting date at 50% of their normal price Selling expenses amounted to 5% of the proceeds 800 skirts, which had cost $20 each These too were found to be defective Remedial work in February 20X3 cost $5 per skirt, and selling expenses for the batch totaled $800 They were sold for $30 each What should the inventory value be according to IAS Inventories after considering the above items? A $315,900 B $295,700 C $305,200 D $295,900 Question 12 ABC, a limited liability company, has an accounting year end of 31 October The accountant is preparing the financial statements as at 31 October 20X7 A trial balance has been prepared The Trial balance as at 31 October 20X7 Dr Buildings at cost Cr 740 Buildings accumulated depreciation at November 20X6 Plant at cost 60 220 Plant accumulated depreciation at November 20X6 110 Bank balance 70 Revenue 1800 Net purchases 1,140 Inventory at November 20X6 160 Cash 20 Trade payables 250 Trade receivables 320 Administrative expenses 325 Allowance for receivables at November 20X6 10 Retained earnings at November 20X6 130 Equity shares, $1 415 Share premium account 80 Closing inventory has been counted and is valued at $75 Ignoring the depreciation charge calculated earlier, what is the cost of sales for the year? A B C D 1300 1225 1375 1200 Question 13 Prisha has not kept accurate accounting records during the financial year She had opening inventory of $6700 and purchased goods costing $84000 during the year At the year end she had $5400 left in inventory All sales are made at a mark up on cost of 20% What is Prisha's gross profit for the year? 10 A B C D 17040 96200 85200 95000 Question 14 The inventory counters of Lala Co inform you that there are 4,000 items of product A, and 1,000 of product B, these cost $10 and $6 respectively They also tell you the following information: Product A – 500 of these were found to be defective and would be sold at a cut price of $6 Product B – 200 of these were also to be sold for $4 with selling expenses of $1.50 each What figure should appear in Crocodile's statement of financial position for inventory? A B C D 38000 43300 42800 38500 Question 15 A company has decided to switch from using the FIFO method of inventory valuation to using the average cost method (AVCO) In the first accounting period where the change is made, opening inventory valued by the FIFO method was $54000 Closing inventory valued by the AVCO method was $60200 Total purchases and during the period were $140300 Using the continous AVCO method, opening inventory would have been valued at $55000 What is the cost of materials that should be included in the statement of profit or loss for the period? A 255500 11 B 141300 C 135100 D 145100 Question 16 Which of the following statements about inventory for the purposes of the statement of financial position is correct? A AVCO and LIFO are both acceptable methods, under IAS 2, Inventories, of arriving at the cost of inventories B The cost of inventories of finished goods may include labour and materials cost only, without including overheads C Inventories should be included at the lowest of cost, net realisable value and replacement cost D It may be acceptable for the cost of inventories to be based on selling price less estimated profit margin Question 17 For many years XYZ plc has experienced rising prices for raw material I, and has kept constant inventory levels It has always used the AVCO method to arrive at the cost of inventory If XYZ plc had always used the FIFO method, in each excessive year's financial statements would result in: A Lower cost of sales and higher closing inventory B Lower cost of sales and lower closing inventory C Higher cost of sales and lower closing inventory D Higher cost of sales and higher closing inventory Question 18 The cost of inventory in the financial statement of Q for the year ended 31 December 20X5 of 725.100 was based on an inventory count on January 20X6 12 Between 31 December 20X5 and January 20X6, the following transaction took place: Purchases of goods 7.500$ Sales of goods (profit margin 30% on 13.000$ sales) Goods returned by Q to a supplier 600$ What adjusted figure should included in the financial statements for inventories at 31 December 20X4: A $749,400 B $727,300 C $734,300 D $747,400 Question 19 A business has opening inventory of 8,100$ and closing inventory of 9,200$ Purchases 87,600$ and delivery inwards 60$ and outwards 190$ What is the correct amount for cost of sales? A $86,500 B $86,680 C $86,750 D $86,560 Question20 At 30 September eoX4 the closing inventory of a company amount to 497.500$ The following items were included in this total at cost: 1000 items which had cost 20 each These items were all sold in October 20X4 for 17$ each, with selling expenses of 900$ 13 Five items which had been in inventory for many years and which had been purchased for 100$ each, sold in October 20X4 for 1000$ each, net of selling expenses What figure should appear in the company’s statement of financial position at 30 September 20X4 for inventory? A $363,600 B $390,500 C $393,600 D $493,600 Question 21 The following information relates to Eva Co’s sales tax for the month of March 20X3 Sales (including sales tax): $120.000 Purchases (net of sales tax): $ 65.000 Sales tax is charged at a flat rate of 15% Eva Co’s sales tax account showed an opening credit balance of $4.500 at the beginning of the month and a closing debit balance of $2.700 at the end of the month What was the total sales tax paid to regulatory authorities during the month of March 20X3? A 5.470 B $15.045 C $13.075 D $11.710 Question 22 Alan is not register for sales tax purposes He has recently receive an invoice for goods for resale which cost $400 before sales tax, which is levied at 10% The total value was therefore $475 What is the correct entry to be made in Alan’s general ledger in respect of the invoice? 14 A Dr Purchases $400, Dr Sales tax $75, Cr Payables $475 B Dr Purchases $475, Dr Sales tax $75, Cr Payables $400 C Dr Purchases $475, Cr Payables $475 D Dr Purchases $400, Cr Payables $400 Question 23 Indicate whether the following statements are true or false A van for sale by a dealer is shown as a non-current asset in its statement of financial position A True B False Question 24 Which two of the following may be included when arriving at the cost of finished goods inventory for inclusion in the financial statement of a manufacturing company? A Delivery inwards B Delivery outwards C Depreciation of delivery vehicles D Finished goods storage costs E Production line wages Question 25 The gross profit margin is 20% where: A cost of sales is $100,000 and sales are $120,000 B cost of sales is $100,000 and sales are $125,000 C cost of sales is $80,000 and gross profit is $16,000 15 D cost of sales is $80,000 and sales are $96,000 Question 26 When calculating the cost of inventory, which of the following shows the correct method of arriving at cost? Include inward delivery costs Include production overheads A Yes No B No Yes C Yes Yes D No No Question 27 In preparing its financial statements for the current year, a company's closing inventory was understated by $300,000 What will be the effect of this error if it remains uncorrected? A The current year's profit will be overstated and next year's profit will be understated B The current year's profit will be understated but there will be no effect on next year's profit C The current year's profit will be understated and next year's profit will be overstated D The current year's profit will be overstated but there will be no effect on next year's profit Question 28 Indicate whether the following statements are true or false Import duties are included in the cost of inventory A True 16 B False Question 29 Sahara plc sells three products - Basic, Super, Luxury The following information was available at the year end Basic Super Luxury (200 units) (250 units) (150 units) Price $ per unit Price $ per unit Price $ per unit Original cost 18 Estimated selling price 12 15 Selling and distribution costs to be incurred What is the value of inventory at the year end? A $3,600 B $4,700 C $5,100 D $6,150 Question 30 An extract from a business's statement of profit or loss is as follows: $ Revenue $ 115,200 Opening inventory 21,000 Purchases 80,000 Closing inventory (5,000) 17 (96,000) 19,200 What mark-up has the business applied? A 14,8% B 16,7% C 20,0% D 83,3% ANSWER Question 1: A Average price = ( 30 x 40 + 50 x30 + 40 x 25 ) : ( 30 + 50 + 40 ) = $30,83 -> AVCO value of inventory = 30,83 x ( 30 + 50 -60 + 40 ) = $1850 Question 2: D Average price = ( 10 x 200 + 12 x220 + x 180 ) : ( 10 + 12 + ) = $205.19 -> AVCO value of inventory = 205,19 x ( 10 + 12 - + + 10 ) = $1846.67 Question 3: C Inventory count value 724,800 Less: purchases(9,200) Add: sales (18,000 × 70/100) Add: goods returned Inventory 12,600 600 728,800 Question 4: A 18 Sales: 130000 x (20% /120%) = 21666  Tax: 21666 Purchase: 85000 x 20%= 170000 Total sale tax = 21666 + 21666 – 17000 = 26332 Question 5: D COGS = 14000 X 100/15 = $93.333  Inventory: 960000 – 11850 + 1550 + (14000 x 100/115) = 961,873 Question 6: A Cost per unit = ( opening inventory value + total cost of purchase) / (opening quantity + total quantity received)  Cost per unit = (20x40 + 80x42 + 60x50) / (20 + 80 + 60) = 44,75  Closing inventory: 44,75 x 65= 2908,75 Date Transaction Units opening transaction Purchased 80 units ($42) 100 10 Sold 70 units 20 Purchased 60 units ($50) 90 28 Sold 65 units Value 20 30 25 44,75 x 25= 1118,75 Question 7: A Because the company switch to the AVCO method, so we will use it Opening inventory (AVCO method) 66200 Purchase 140500 19 Less closing inventory 69800 Total 136900  Cost of materials = $136900 Question 8: B Question 9: A The unsold goods are referred to as closing inventory This inventory is deducted from purchases in the income statement Gross profit is thus: Question 10: Có hai phương pháp tính 20 Cách thứ nhất: Number of units in ending inventory: Ending inventory = Beginning inventory + Purchases made during the month – Units sold during the month = 500 units + (800 + 700) units – 1,400 units = 600 units a Computation of inventory on July 31, 2016 ( i, e., ending inventory) under FIFO: Most recent cost; July 25,2016: 600 units @ $26 per unit = $15,600 b Computation of cost of goods sold (COGS) for July 31, 2016 under FIFO: Cost of units on July 1, 2016 (beginning inventory): 500 units @ $20 per unit = $10,000 Add cost of units purchased during the month: 800 units purchased @ $24 per unit = $19,200 700 units purchased @ $26 per unit = $ 18,200 Total cost of units available for sale = $10,000 + 19,200 + 18,200 = $47,400 Total cost of 1,400 units sold during July = Total cost of units available for sale Cost of units in ending inventory (part 1) = $47,400 - 15,600 = $31,800 Cách thứ hai, tính chi phí hàng bán theo earliest method sau: Earliest cost; July 01, 2016: 500 units @ $20.00 per unit = $10,000 Next earliest cost; July 18, 2016: 800 units @ $24.00 per unit = $19,200 Next earliest cost; July 25, 2016: 100 units @ $26.00 per unit = $2,600 Total cost of 1,400 units sold during July = $10,000 + 19,200 + 2,600 = $31,800 Question 11: D $ 21 Original value 300,700 Hats a, Cost 400 * $50 (20,000) b, NRV ($40 * 95%) * 400 15,200 Inventory value (1) - (2a) + (2b) 295,900 Question 12: B Opening inventory 160 Net purchases 1140 Closing inventory (75) Cost of sales 1225 Question 13: A Opening inventory 6700 Add purchases 84000 Less closing inventory (5500) Cost of sales 85200  Gross profit = 20% x 85200 = 17040 Question 14: B Product A= 3500×10 + 500×6= 38000 Product B= 800×6 + 200×2.50= 5300 Question 15: C Opening Inventory (AVCO method) 55000 Purchases 140300 Less closing inventory (60200) 22 Cost of materials 135100 Question 16: D Question 17: A Question 18: B $ Inventory count value 725,100 Less purchases (7,500) Add sales (13.000 x 70/100) 9.100 Add goods returned 600 Inventory figure 727,300 Question 19: D $ Opening inventory 8.100 Purchases 87.600 Delivery inwards 60 Less closing inventory 9.200 86.560 Question 20: D $ $ Original balance 497.500 Item (1) cost (20.000) NRV 17000-900 16.100 Write down 3.900 23 Inventory value 493.600 Question 21: C b/d 4.500 Sales: 120.000×15%/115%= 15.625 Purchase: 65.000 × 15% = 9750 Cash: 13.075 22.825 c/d 2.700 22.825  The total sales tax paid to regulatory authorities during the month of March 20X3 is 13.075 Question 22: C Dr Purchases $475 Cr Payables $475 Cannot reclaim the input sales tax of $75 because Alan is not registered for sales tax purposes Question 23: B If prices are rising, the charge to cost of sales will be higher if AVCO is used Gross profit will therefore be lower under this method Question 24: A, E Cause B,C is distribution cost D is not incurred in cost of finished good Question 25: B 125,000 x 80% = 100,000 Question 26: C Question 27: C 24 This year: Closing inventory lower => COGS higher => Gross profit lower Next year: Closing inventory the past year is Opening Inventory this year => Gross profit higher Question 28: B Closing inventory is a debit in the statement of financial position and a credit in the statement of profit or loss Question 29 B Cost $ NRV Lower of cost & NRV Units Basic 200 1,200 Super 8 250 2,000 Luxury 18 10 10 150 1,500 Total 4,700 Question 30: C 19,200 / 96,000 x 100% = 20% 25 Value ... Giang 18 D155029 Nguyễn Thị Thanh Giang 18 D155032 Đặng Khánh Hà 18 D155009 Đặng Thanh Hà 18 D155 010 Kiều Thanh Hằng 18 D155 011 TrầnThị Thu Huệ 18 D155028 Bùi Thị Xuân Hương 18 D155 012 Đỗ Quang Huy 18 D155038... + 50 -60 + 40 ) = $18 50 Question 2: D Average price = ( 10 x 200 + 12 x220 + x 18 0 ) : ( 10 + 12 + ) = $205 .19 -> AVCO value of inventory = 205 ,19 x ( 10 + 12 - + + 10 ) = $18 46.67 Question 3:... 17 0000 Total sale tax = 216 66 + 216 66 – 17 000 = 26332 Question 5: D COGS = 14 000 X 10 0 /15 = $93.333  Inventory: 960000 – 11 850 + 15 50 + (14 000 x 10 0 /11 5) = 9 61, 873 Question 6: A Cost per unit =