2: If a company sells the products with a list price of OMR 10,000 to a customer at a discount of 10% on the list price then, what journal entry will be passed in this case? A. Debit will be cash OMR 9,000 and Discount OMR 1,000, credit will be sales OMR 10,000 B. Debit will be cash OMR 9,000, credit will be sales OMR 9,000 C. None of these D. Debit will be cash OMR 10,000, credit will be sales OMR 10,000 Q3: Useful life or service life can be expressed in terms of: Mark) A. Units of output B. Time C. All of these are true D. Units of activity Q4: Under which of the following situation you may find loss on sales of asset? A. When the book value of the asset is lower than sales price B. When the book value of the asset is equal to sales price C. When the book value of the asset higher than the sales price D. None of theses Q5: Which one of the following asset is not considered as cash equivalent? A. Short term marketable securities B. Short term notes receivables C. Treasury bills D. Inventory for sale Q6: Which of the following are the characteristics of contingent liabilities? A. The company do not know when to pay B. The company do not know whom to pay C. All of these D. The company do not know how much to pay Q7: When the customer pays the money to the company after the discount period, which one of the following journal entry is made by the company? A. Dr. Cash Dr. Discount Cr. B. Trade receivables Dr. Trade receivables Dr. Discount Cr. C. Cash Dr. Cash Cr. Trade receivables D. Dr. Discount Dr. Trade receivables Cr. Cash Q8: Which one of the following is a cash transaction? A. None of these B. Goods sold to Mohammed on the term 2/10, n/30 C. Utilities paid OMR 1,000 D. Sold machine against a Notes receivable Q9: On 2nd October, 2015 Oman Communications borrows OMR 16,000 from the bank at 8% for a period of 75 days. The company signs a note with a face value equal to the amount borrowed. Which of the following will be the maturity date? A. 15th December 2015 B. 16th December 2015 C. 17th December 2015 D. None of these Q10: Total sales of the company were OMR 84,000 and out of which OMR 16,000 was cash sales. The estimated bad debts expense based on past experience is 5%. Calculate the value of bad debts expense under percentage of sales method. A. OMR 3,400 B. OMR 800 C. OMR 4,200 D. OMR 16,000 Q11: If purchase is debit and accounts payable is credit, the correct transaction for this entry is: A. Paid money to accounts payables B. Goods purchased on credit C. Goods returned from customer D. Purchases made from customer and paid by cheque Q12: Which of the following statements is true about perpetual inventory system? A. There is no control of management B. None of these C. Stock count is done to determine cost of goods sold D. Stock count is done to confirm if units held are as per records Q13: If capital market funds are OMR 100, marketable securities for 6 months are OMR 35, notes receivables for 18 months are OMR 50, guaranteed investment certificates are OMR 75 and treasury bills are OMR 30 then what will be the amount for cash equivalents? A. OMR 140 B. OMR 160 C. OMR 290 D. OMR 190 Q14: The company issued a note receivable on 12-7-2020 for OMR 1,000 with an interest rate of 10%. The maturity date of the note is 30-9-2020. The note was honored on the maturity date. Calculate the interest amount received by the company on the maturity date assuming 360 days in a year. A. OMR 22.22 B. OMR 21.67 C. OMR 21.94 D. OMR 22.50 Q15: Which one the following statements is true about periodic inventory system? A. None of these B. Ending inventory and cost of goods sold is calculated on the basis of physical count C. Income statement and balance can accurately be prepared at any point of time D. It is not appropriate for the small businesses Q20: Which statement is in-correct about depreciation? A. All of these are true B. Under straight line balance method, the depreciation is same in all the years C. When calculating depreciation, salvage value is added to cost of asset D. Depreciation is the reduction in the value of fixed asset Q21: Which one of the following is not an example of cost of land assets? A. Title fee B. Demolishing old structure C. Legal fee D. Selling cost || Q22: A cheque issued by the company for OMR 750 is incorrectly recorded by a company as OMR 650. On the bank reconciliation, the OMR 100 error should be: A. Added to the balance as per bank books B. Deducted from the balance as per bank books C. Added to the balance as per company books D. Deducted to the balance as per company books Q24: How inventory records are updated under periodic inventory system? A. None of these B. Inventory records are updated automatically C. Inventory records are updated regularly D. Inventory records are not updated at all Q26: Which of the following account is debited when account payable is replaced with a note payable? A. Cash B. Note payable C. Interest D. Account payable Q: what is the amount of stock balance on 12th January using weighted average cost method? A. OMR 12,000 B. OMR 48,000 C. OMR 30,000 D. OMR 36,000 Q: what is the amount of stock balance on 9th January using weighted average cost method? A. OMR 36,000 B. OMR 48,000 C. OMR 12,000 D. OMR 6,000 Q28: If a company sells a product for an average of OMR 10, and which cost OMR 6. The cost to retail percentage is 60%. The opening inventory is OMR 20,000, purchase during the month is OMR 22,000 and sales is OMR 50,000. what is the amount of ending inventory? A. OMR 14,000 B. OMR 12,000 C. OMR 13,200 D. OMR 30,000 Q30: If cost of a machine is OMR 10,000, estimated salvage value is OMR 1,000, Total units of production are 9,000 and units produced in the month of October are 7,500 then calculate the depreciation expense for the month of October under Units of production method? A. OMR 10,800 B. OMR 7,500 C. OMR 1,000 D. OMR 9,000 Q31: Which one the following statements is true about Depletion? A. It is a decrease in the value of wasteful assetsatural resources with its use B. It is a decrease in the value of tangible fixed assets with its use C. It is a decrease in the value of in-tangible fixed assets with its use D. None of these || Date Received Issued Quantity Rate Amount Quantity Rate 8th Jan ? ? 9th Jan 12th Jan Stock Balance Amount Quantity Rate Ami 7 3 ? 4,000 3 12,000 12,000 ? ? 2,000 ? ? Complete the table and answer the following questions: (Q1) what is the amount of stock balance on 8th January using weighted average cost method? (1 Mark) google reg x + tempt.php?attempt 130528&cmid=50736&page=2 9th Jan 12th Jan 8:10 AM A Not sing Intisar Nasser Amur Alyahmadi 4,000 3 12,000 12,000 ? ? 2,000 ? ? ? ? Complete the table and answer the following questions: (Q1) what is the amount of stock balance on 8th January using weighted average cost method? (1 Mark) OMR 24,000 None of these OMR 12,000 OMR 48,000 C 8:10 AM