q1 A correction made in 2019 for "overstatement of salaries expenses of 2016" would result in:

An increase of retained earnings for 2019

A decrease of salaries payable in 2016

An increase of salaries payable in 2016

A decrease of retained earnings for 2019

None of the provided answers is correct

q2 The basis of valuation for (P.P.E) is:

All provided answers are false

Fair value

The amount remained after the cost

Cost

Estimated amount collectible. q3 If cash balance at the beginning of the accounting period was more than cash balance at the end of the accounting period, this means that:

The firm has incurred more expenses than it has earned revenues

The firm has earned more revenues than it has incurred expenses

None of provided answers is correct

Cash outflow was more than cash inflow during that period

Cash inflow was more than cash outflow during that period

q4 When preparing the statement of cash flow, a change in the balance of ordinary capital share would affect:

The investing section of the statement

The operating section of the statement

Both, the financing and the investing sections of the statement

The financing section of the statement

Both, the operating and the investing sections of the statement

q5 One of the following is treated as selling expenses:

Interest expenses

Sales revenues

Bonuses and incentives paid for salesmen

Bonuses and incentives paid for accountants