I have uploaded a Word file containing three questions in accounting that need to be answered and delivered soon today. Please check the file, read it, and follow all the instructions mentioned there.
Assignment (1)
Instructions – PLEASE READ THEM CAREFULLY
· You are advised to make your work clear and well-presented, marks may be reduced for poor presentation.
· Ensure the work is free of grammatical and spelling errors.
· Ensure the work is free of plagiarism. the work should be in your own words, with proper referencing included.
· No pictures containing text will be accepted and will be considered plagiarism.
· Ensure the work is free of AI.
Assignment Question(s):
Q1. Discuss three of the accounting principles and assumptions with examples.
Q2. Prepare the journal for each of the following transactions. (Marks 5)
1. On June 1, Sara invested SAR 10,000 cash in her business to start operations.
1. On June 6, Sarah purchased inventory for SAR 6,000 on credit from a supplier.
1. On June 12, Sarah purchased inventory for SAR 2,000 cash from a supplier.
1. On June 15, Sarah borrowed 15,000 from a bank.
1. On June 31, Sarah paid SAR 4,000 cash to the supplier for the inventory purchased on credit earlier in the month.
Q3. Based on the following trial balance for United Co, prepare an income statement, a statement of retained earnings, and a balance sheet. The company made no additional investments in the company during the year.
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United Co. Trial Balance December 31 |
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Cash |
SR 7,000 |
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|
Accounts receivable |
475 |
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|
Supplies |
2,500 |
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|
Equipment |
17,000 |
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|
Accounts payable |
SR 1220 |
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|
Common stock |
10,000 |
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|
Retained earnings |
11,155 |
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Dividends |
36,000 |
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Revenue earned |
72,000 |
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|
Supplies expense |
3,400 |
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|
Rent expense |
6,000 |
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Wages expense |
22,000 |
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Totals |
SR94,375 |
SR94,375 |