1

2

Q2. A company allows its customers to use bank credit cards to charge purchases. The company is charged 2.5% service charge credit card sales.(5 Mark)

A.On April 10, the company sold SAR 27,000 worth of merchandise to customers who used credit cards.

B.On April 18 Received cash proceeds less the service charge for the April 10

Prepare the company’s journal entry for each of the above transactions.

Q3 A company’s property records revealed the following information about its plant assets:

1/1/2023

Calculate the depreciation expense for each machine for the year ended December 31, 2023, and for the year ended December 31, 2024.(Marks 5)

Machine 1:2023:

2024:

Machine 2:

2023:2024:

College of Administration and Finance Sciences
Assignment (1)
Deadline:Saturday 02/03/2024 @ 23:59
Course Name: Principles of Accounting
Student’s Name:
Course Code: ACCT 101
Student’s ID Number:
Semester: Second
CRN:
Academic Year: 1445 H
For Instructor’s Use only
Instructor’s Name:
Students’ Grade:
/15
Level of Marks: High/Middle/Low
Instructions – 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 answers 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 Administration and Finance Sciences
Assignment Question(s):
(Marks 5)
Q1. Discuss three of the accounting principles and assumptions with examples.
(5 Mark)
Q2. Prepare the journal for each of following transactions.
(Marks 5)
1. On June 1, Sara invested SAR 10,000 cash in her business to start operations.
2. On June 6, Sarah purchased inventory for SAR 6,000 on credit from a supplier.
3. On June 12, Sarah purchased inventory for SAR 2,000 cash from a supplier.
4. On June 15, Sarah borrowing 15,000 from a bank.
5. On June 31, Sarah paid SAR 4,000 cash to the supplier for the inventory purchased on credit
earlier in the month.
Q3. Based on the following trial balance for United Co, prepare an income statement,
statement of retained earnings and a balance sheet. The company made no additional
investments in the company during the year.
College of Administration and Finance Sciences
United Co.
Trial Balance
December 31
Cash
Accounts receivable
SR 7,000
475
Supplies
2,500
Equipment
17,000
Accounts payable
SR 1220
Common stock
10,000
Retained earnings
11,155
Dividends
36,000
Revenue earned
72,000
Supplies expense
3,400
Rent expense
6,000
Wages expense
22,000
Totals
SR94,375
SR94,375
College of Administration and Finance Sciences
Assignment (2)
Deadline: Saturday 04/05/2024 @ 23:59
Course Name: Principles of Accounting
Student’s Name:
Course Code: ACCT 101
Student’s ID Number:
Semester: Second
CRN:
Academic Year: 1445 H
For Instructor’s Use only
Instructor’s Name:
Students’ Grade:
/15
Level of Marks: High/Middle/Low
Instructions – 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 answers 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 Administration and Finance Sciences
Assignment Question(s):
Q1. Suppose you are an auditor who has been tasked with looking into the internal
controls at a company. Define an internal control system and list the main
principles of internal controls.
(5 Mark)
Q2. A company allows its customers to use bank credit cards to charge purchases.
The company is charged 2.5% service charge credit card sales.
(5 Mark)
A. On April 10, the company sold SAR 27,000 worth of merchandise to customers who used
credit cards.
B. On April 18 Received cash proceeds less the service charge for the April 10
Prepare the company’s journal entry for each of the above transactions.
College of Administration and Finance Sciences
Q3 A company’s property records revealed the following information about its
plant assets:
Machine
No.
Cost
Salvage Value
Purchase Date
Depreciation Method and
Estimate Life
1
SAR 24,000
SAR4 ,000
1/1/2023 Straight-line (4 years)
2
SAR 30,000
SAR1,500
1/1/2023 Double-declining-balance
(5 years)
Calculate the depreciation expense for each machine for the year ended December
31, 2023, and for the year ended December 31, 2024.
(Marks 5)
Machine 1:
2023:
2024:
Machine 2:
2023:
2024: