Question No 3: (5+5=10 Marks) (Objectives of this case study) To understand the application of accounting principles in recording of financial transactions To analyze the treatment of adjustment entries in the preparation of final accounts Case 1. The image given below shows one of the basic terms in accounting. Identify the concept related and answer the following questions in your own words. FORMS OF BUSINESS ORGANISATIONS Answer the following Questions (1 mark each) a. What are the various forms of business organizations? b. Name two examples for each forms of business organizations c. What is the basic objectives of this accounting principle? d. Which form of organization is best with respect to liability, liquidity and Tax considerations e. Write any two limitations of each forms of organization. Case 2 Suppose you are the accountant of Oman Cable Service LLC, the Company has consulting project with a large client Salalah Transport, the client billed OMR 58000 to Oman Cable for the year 2019. Since the agreement only allows for billing at the end of the project. The payment received for the year 2019 was only OMR 33000. The balance OMR 25000 will be received in 2020. What is the accounting treatments in 2019? Answer the following Questions (1 mark each) a. Name the adjusting entry related to this transaction and pass entry to record the transaction? b. How will you define this adjusting entry in a single sentence? c. Which accounting concept is most applicable to this adjusting entry? d. How this amount is to be shown in balance sheet/ Income statement? e. How it will affect the financial statements if this entry is not passed? 5 Page