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Q1. What are the various methods for Accounting of Uncollectible Accounts?

Explaineach method with suitable examples. (1.5 Marks)

Answer:

Q2. ABC Ltd. is a metal product manufacturing company. The following are the purchases and issues during the month of July, 2019: (1.5 Marks)

Date
July 1	Beginning Inventory	400 units @ $120
July 6	Purchase	250 units @ $150
July 11	Purchase	200 units @ $100
July 17	Sales	600 units @ $300
July 19	Purchase	150 units @ $120
July 21	Purchase	350 units @ $160
July 31	Sales	500 units @ $350

Required:

Using FIFO and Average Cost Method-

a) Find out the value of Ending Inventory after each transaction.

b) Find out the value of cost of goods sold after each sales.

Note: You can round off the values for the calculations under average cost method.

Answer:

Q3. What formats are used to prepare Statement of Financial Position? Prepare a Statement of Financial Position of MNT Company for the year ended 31st December, 2015 in a proper format from the following list of accounts: (2 Marks)

List of Accounts	Amount ($)
Long Term Investments	51,000
Land	68,500
Buildings	165,000
Equipment	170,000
Goodwill	15,000
Patents	5,500
Inventories	270,000
Account Receivable	90,500
Prepaid Expenses	28,000
Short term investments	27,000
Cash and cash equivalents	26,500
Share Capital-Ordinary	210,000
Share Capital-Preference	220,000
Retained Earnings	93,500
Bonds (Liabilities due January 31, 2025)	233,750
Notes payable	44,000
Account payable	108,350
Salary payable	4,200
Deposits received from customers	3,200

.Answer:

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