May - 7 May In Class Assignment-2 1. Identification of Asset Source, Use and Exchange transaction. Required: (5x1) - 5 Name an asset source transaction that will not affect the cash statement Name an asset source transaction that will affect the income statement Name an asset use transaction that will not affect the income statement Name an asset exchange transaction that will not affect the cash statement Name an asset source transaction that will not affect the income statement a. b. c. d. e. 2. Define Accounting for Deferral. How is it different from Accounting for Accrual? Explain with an example. (2x1) = 2 3. Explain how the combined effect of each of the following events and the associated adjusting entry will affect the amount of net income and the amount of cash flow from operating activities reported on the year end financial statements on 31 December. To answer your question, follow the format given below. (8XI)=8 Not secure Ims.ui.ac.bd/course/view.php?id=989 elins Course search elearning Management System 3. Explain how the combined effect of each of the following events and the associated adjusting entry will affect the amount of net income and the amount of cash flow from operating activities reported on the year end financial statements on 31st December. To answer your question, follow the format given below: (EXI)=8 Event no Net Income Cash flow from operating activities Direction of Amount of change Direction of Amount of change change change a. b. c. Paid $9,000 cash on October 01 to purchase a nine month insurance policy. Paid $40,000 cash to purchase equipment. The equipment was purchased on June 01. It has an estimated salvage value of $8,000 and an expected useful life of 4 years. Purchase of $900 of supplies on account Paid $300 cash on accounts payable. The ending balance in the supplies account, after adjustment, is $300. d. Earned $5,000 of revenue on account Collected $3,000 cash from accounts receivable. Collected $2,400 in advance for services to be performed in the future. The contract called for services to start on April 30 and to continue for 1 year. Acquired $10,000 cash from the owners. Sold land that cost $4,500 for $3,500 cash. h. Loan paid off including interest amounted to $38,880 of which $2,880 is interest payable e. f. 9. May - 7 May In Class Assignment-2 1. Identification of Asset Source, Use and Exchange transaction. Required: (5x1) - 5 Name an asset source transaction that will not affect the cash statement Name an asset source transaction that will affect the income statement Name an asset use transaction that will not affect the income statement Name an asset exchange transaction that will not affect the cash statement Name an asset source transaction that will not affect the income statement a. b. c. d. e. 2. Define Accounting for Deferral. How is it different from Accounting for Accrual? Explain with an example. (2x1) = 2 3. Explain how the combined effect of each of the following events and the associated adjusting entry will affect the amount of net income and the amount of cash flow from operating activities reported on the year end financial statements on 31 December. To answer your question, follow the format given below. (8XI)=8 Not secure Ims.ui.ac.bd/course/view.php?id=989 elins Course search elearning Management System 3. Explain how the combined effect of each of the following events and the associated adjusting entry will affect the amount of net income and the amount of cash flow from operating activities reported on the year end financial statements on 31st December. To answer your question, follow the format given below: (EXI)=8 Event no Net Income Cash flow from operating activities Direction of Amount of change Direction of Amount of change change change a. b. c. Paid $9,000 cash on October 01 to purchase a nine month insurance policy. Paid $40,000 cash to purchase equipment. The equipment was purchased on June 01. It has an estimated salvage value of $8,000 and an expected useful life of 4 years. Purchase of $900 of supplies on account Paid $300 cash on accounts payable. The ending balance in the supplies account, after adjustment, is $300. d. Earned $5,000 of revenue on account Collected $3,000 cash from accounts receivable. Collected $2,400 in advance for services to be performed in the future. The contract called for services to start on April 30 and to continue for 1 year. Acquired $10,000 cash from the owners. Sold land that cost $4,500 for $3,500 cash. h. Loan paid off including interest amounted to $38,880 of which $2,880 is interest payable e. f. 9