1

Indicate the accounting principles applicable:

a)Mr Stamford is an owner of a restaurant and an apartment for rent, as well as, a business consultant. He prepares separate financial statements for each of the business.

b)M Magazine Corp received member subscription fees for 1 year in advance. The company regards that transaction as a liability called "unearned subscriptions"

c)PTT PLC bought office supplies for less than 500 baht and recorded it as an expense under "miscellaneous expense"

d)A land plot was bought by a company 15 years ago for 200,000 baht now valued at 3,000,000 baht; it is still recorded at book value of 200,000 baht on the company's account.

2

CP ALL PLC has a large number of shareholders. Based on which accounting principle are transactions of CP ALL PLC recorded as a separate account from the individuals owning the shares.

3

All companies registered in Thailand must abide to the same accounting standard. What is such standard?

4

What are the 3 key financial statements that companies must prepare? Briefly explain their objectives.

5

What are the key activity types in which the cash flow statement is structured?

6

Accounts in financial statements are sorted in a certain way. How are they organized? What determines such order?

7

Identify how each transaction affects financial statements:

Received cash for stock issued

Bought inventory on credit

Sold products on credit

Collected money owed by debtors

Repaid debts to creditors

8

How do partnerships differ from limited partnerships?

9

Stamp Co., Ltd. Has 1,000,000 baht of registered capital. What is the minimum paid-up capital required by law?

10

Which organization is responsible for setting up an accounting standard in Thailand?