College of Administrative and Financial Sciences Assignment 1 Deadline: 02 /03/ 2024 @ 23:59 Student’s Name: Student’s ID Number: CRN: Course Name: Financial Accounting Course Code: ACCT 201 Semester: 2 Academic Year: 2023- 24 For Instructor’s Use only Instructor’s Name: Students’ Grade: …… /15 Level of Marks: High/Middle/Low nstructions – PLEASE READ THEM CAREFULLY • The Assignment must be submitted on Blackboard (WORD format only) via allocated folder. • Assignments submitted through email will not be accepted. • Students are advised to make their work clear and well presented, marks may be reduced for poor presentation. This includes filling your information on the cover page. • Students must mention question number clearly in their answer. • Late submission will NOT be accepted. • Avoid plagiarism, the work should be in your own words, copying from students or other resources without proper referencing will result in ZERO marks. No exceptions. • All answered must be typed using Times New Roman (size 12, double-spaced) font. No pictures containing text will be accepted and will be considered plagiarism). • Submissions without this cover page will NOT be accepted. College of Administrative and Financial Sciences Assignment Question(s): Marks 15 Chapter 1 to 5 Q1 Globalization demands a single set of high-quality international accounting standards. List the elements of High Quality Standards and explain the two major boards that sets standards. Answer: 3 Marks Q2. Q2. What do you understand by deferrals and accruals in adjusting entries? Give numerical examples on how such adjusting entries are made. (4 Marks) Answer: Q3. Fill in the blanks (1 Mark) Sales Revenue – Cost of goods sold 500,000 ? ? 305,800 = Gross Profit 175,000 ? – Operating expenses ? 115,750 =Net Profit 76,500 65,250 Answer: Sales Revenue – Cost of goods sold 500,000 = Gross Profit Operating expenses 175,000 305,800 115,750 =Net Profit 76,500 65,250 Q4. a. What do you understand by allocation to non-controlling interest and discontinued operations? Explain how they are reported in the income statement. (2 Marks) Amswer: College of Administrative and Financial Sciences Q4b. Intraperiod Tax Allocation. XYZ Co. has income before income tax of SR 50,000. XYZ Co. has a gain of SR 10,000 from a discontinued operation. Assuming a 35 percent income tax rate, how would XYZ Co. present the information on the income statement, and if it had a loss of SR 10,000 from a discontinued operation. Assuming a 35 percent income tax rate, show the changes in Income on the income statement (2 Marks) Prepare: 1. Changes in Income on the income statement when Loss made from discontinued operations 2. Changes in Income on the income statement when Gain made on discontinued operations Answer: Q5 The following information in SAR. Prepare a Cash Flow Statement:- (3 Marks) Opening Cash Balance 15,000 Closing Cash Balance 23,000 Increase in current liabilities 13,000 Decrease in current assets 17,000 Fixed assets purchase 30,000 Redemption of 12% bonds 14,000 Profit for the year 18,000 Depreciation 4000 Answer: