04 O's trial balance failled to agree and a suspense account was opened for the difference. Q does not keep receivables and payables control accounts. The following errors were found in Q's accounting necoeds: (1) In rocording an issuc of shares at par, cash received of $333,000 was credited to the ordinary share capital account as $330,000 (2) Cash $2,800 paid for plant repairs was correctly accounted for in the cash book but was crodited to the plant asset account (3) The petmy cash book balance $500 had been omitled from the trial balancs (4) A cheque for 578,400 paid for the purchase of a molor car was debited to the motor vehicles account as 587,400 Which of the enors will require an entry to the suspense account so correct them a. 2 and 3 only b. 1,2 and 4 only c. I and 4 only d. 1,2 3 and4 Company F has 300,000 oedinary shares of 50p cach. In the year ended 31.12.36, the company paid an interim dividend of Ip per share on 1.4.X6 and on 20.12.X6, the company declared a final dividend of 2p per share to be paid on 2 6X7. What is the total dividend which is to be shown in the Statement of movements in equity for the year ended 31.12.X6 a 9,000 b, E30,000 e. 3,000 d. 56,000 06 Business has just sold a machine which it purchased three years ago for E80 000 less a cash discount 25%. The sale proceeds during fourth year were t24 000 and the machine had been depreciated at 30% a year on the reducing balance basis. profit or loss on disposal of the machine a profit 23,420 b. loss 63,420 e profit (23,420 d. loss 16,580 07 The book value of an asset is defined as a. Cost Minus Salvage Value b Cost Minus Accumelated Depeeciation e. Cost Minus Salvage Value Minus Accumulated Depreciation d. Estimated Fair Market Value 08 Company T started business on 1.1X7 and apart from its ordinary shares, it has 5,000,000 5% preference shares of El each and a 1,000000 10% loan repayable in 25 years time. The dividends on the peefs and the interest on the loan is payable each year on 1 July and the following 1 January The figures appearing in the Statement of Movements in Equity for dividends and the home Statement as an expense deducted from Operating profit for the ye 31.12.X7 are as follows a. Statements of movements in equity, dividends 250,000 Income statement, expense: 100,000 b. Statements of movements in equity, dividends: nil Income statement, expense: 350,000 Statements of movements in equity, dividends 125,000 Income statement, expense: 225,000 d. Statements of movements in equity, dividends: 250,000 Income statement, expense: 1225,000 09 The adjusting entry that reduces the balance in Prepaid Insurance will also include which of the ollowing? a Crodit To Cash b. Credit To Insurance Espense c. Debit To Insurance Expense d. Debit To Insurance Payable