Scribd
Upload
102 views4 pages

Intermediate Finacial Accounting and Reporting: (ACC406) 20 OCTOBER 2020

This document contains an intermediate financial accounting and reporting chapter summary prepared by Nurul 'Aliya Binti Ghazali for Rohana Mohd Noor. It includes multiple choice and theory questions covering topics such as the types of business ownership, the accounting process, internal and external users of accounting information, and types of journals and ledgers. The chapter introduces fundamental concepts in financial accounting.

Uploaded by

Aliya Ghazali
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
102 views4 pages

Intermediate Finacial Accounting and Reporting: (ACC406) 20 OCTOBER 2020

This document contains an intermediate financial accounting and reporting chapter summary prepared by Nurul 'Aliya Binti Ghazali for Rohana Mohd Noor. It includes multiple choice and theory questions covering topics such as the types of business ownership, the accounting process, internal and external users of accounting information, and types of journals and ledgers. The chapter introduces fundamental concepts in financial accounting.

Uploaded by

Aliya Ghazali
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd

UNIVERSITI TEKNOLOGI MARA (UiTM)

PUNCAK ALAM

INTERMEDIATE FINACIAL
ACCOUNTING AND REPORTING
(ACC406)
20 OCTOBER 2020

PREPARED FOR:
ROHANA MOHD NOOR

PREPARED BY:
NURUL ‘ALIYA BINTI GHAZALI
2019475526
HM2423A1

Date of Submission
20 October 2020

CHAPTER 1 : INTRODUTCTION TO ACCOUNTING


EXERCISES
Multiple-choice question
1. C
2. D
3. D
4. B
5. A
THEORY QUESTIONS
1.
a) Ownership

Sale Proprietorship
-Business owned by one person

Partnership
-Business owned by two to twenty people.

Company
-Business owned by two or more people (minimum 2)

b) Liability

Sale Proprietorship
-Unlimited liability

Partnership
- Unlimited liability

Company
- Limited liability

c) Capital

Sale Proprietorship
-Full entitlement

Partnership
- Share by partners

Company
- Share by shareholders
2. -Bookkeeping involves only the recording of economic events and is therefore just one
part of accounting process.

-Accounting involves the entire process of identification, measurement, recording


and communication.

-The bookkeeping function is often performed by individuals with limited skills in


accounting

3. Accounting process have 3;

Recording
 Involves entering the transactions into accounting records.
 Its start with extracting the relevant information from sources documents such as
invoices and official receipts.

Classifying
 The data or transactions have to be sorted out or classified into various categories,
namely assets, liabilities, capital, revenue and expenses.

Reporting
 Involves process of extracting and communicating information by way of
financial statement
4. a) Internal users
Owners: Interested in profit earned from investments, financial stability & growth of
business

Management: As a guidance in planning, organizing and controlling the operation

b) External users
Creditors/ Bankers: To know the ability of the business in repaying the amount owed to
them.

Government: Tax purposes

5. a) Types of journal
-Purchase journal
-Sale journal
-Cash receipts journal
-Cash payment journal
-Purchase return journal
-Sales return journal

b) Types of leager
-General ledger
-Norminal ledger
-Private ledger

6. a) T
b) F
c) T
d) F
e) T

You might also like