You are on page 1of 3

FAR 3

LEBRON Company revealed the following account balances on December 31, 2019:

Accounts Payable 1,000,000


Accounts Receivable, net of allowance for doubtful accounts P5,000 600,000
Accrued taxes 50,000
Accrued Interest receivable 30,000
Authorized share capital, 50,000 shares, P100 par 5,000,000
Building net of accumulated depreciation of P2,500,000 3,000,000
Cash on Hand 50,000
Cash in Bank 650,000
Bond Sinking Fund 2,000,000
Furniture and Equipment, net of accumulated depreciation of P900,000 1,500,000
Inventory 1,200,000
Investment property 700,000
Land 1,000,000
Deferred tax liability 650,000
Bonds payable due June 30, 2019 2,000,000
Notes payable 850,000
Notes receivable 200,000
Patent 370,000
Other accrued liabilities 150,000
Prepaid expenses 100,000
Share premium 300,000
Retained earnings appropriate for contingencies 200,000
Retained earnings 2,700,000
Share subscription receivable 500,000
Subscribed share capital, 2,000 shares 1,000,000
Unissued share capital 2,000,000

1. How much is cash?


a. 850,000 b. 800,000 c. 700,000 d. 750,000
2. How much is the trade and other receivable?
a. 830,000 b. 800,000 c. 980,000 d. 820,000
3. How much is the trade and other payables?
a. 2,050,000 b. 3,000,000 c. 2,000,000 d. 2,300,000
4. How much is the Share Capital?
a. 3,500,00 b. 4,000,000 c. 3,105,000 d. 3,100,000
5. How much is the total Reserves?
a. 400,000 b. 490,000 c. 500,000 d. 550,000
MANGGUS Company Provided the following information for 2019:

Sales 7,500,000
Inventory- Jan 1
Raw materials 200,000
Goods in Process 240,000
Finished Goods 360,000
Inventory- Dec 31
Raw materials 280,000
Goods in Process 170,000
Finished Goods 300,000
Purchases 3,000,000
Direct Labor 950,000
Indirect Labor 250,000
Superintendence 210,000
Light, Heat and power 320,000
Rent- Factory building 120,000
Repair and maintenance- machinery 50,000
Factory supplies used 110,000
Sales salaries 400,000
Advertising 160,000
Depreciation- store equipment 70,000
Office salaries 150,000
Depreciation- office equipment 40,000
Depreciation- machinery 60,000
Sales returns and allowances 50,000
Interest Income 10,000
Gain on sale of equipment 100,000
Delivery Expenses 200,000
Accounting and legal fees 150,000
Office expenses 250,000
Earthquake loss 300,000
Gain from expropriation of asset 100,000
Income tax expense 320,000

6. How much is the Net sales revenue?


a. 7,000,000 b. 7,200,000 c. 7,250,000 d. 7,550,000
7. How much is the Cost of Goods Sold?
A. 5,000,000 B. 5600000 C. 5,750,000 D. 5120000
8. How much is the distribution cost?
a. 800000 b. 980000 c. 825000 d. 830,000
9. How much is the administrative expense?
a. 700,000 b. 560,000 c. 580,000 d. 590,000
cash 4,500,000
a/receivable 7,500,000
notes receivable, net discounted note P 500,000 2,000,000
Inventory 4,000,000

Accounts receivable compromised the ff:


Trade accounts receivable 5,000,000
allow for doubtful accounts (500,000)
Selling Price of Arab Company's unsold good sent to Tar Company on consignment at 150% of cost and excluded from Arabian's
ending inventory 3,000,000
7,500,000

10. What amount should be reported as total current assets at year end?
a. 17000000
b. 17500000
c. 15000000
d. 16500000

You might also like