Description
a. Globalization demands a single set of high-quality international accounting standards. Explain at least 5 elements that demands a single set of high-quality international accounting standards. (Mark 1)
b. Name the two major organizations that sets standards and explain the due processes of setting a new accounting standard? Please write one paragraph.
An adjusting journal entry is typically made just prior to issuing a company’s financial statements. What do you understand by adjusting entries? Give examples (Marks 2)
Q3. Presented below is information related to CHO Co. for the month of January 2018.
|
Cost of Goods Sold |
202,000 |
Salary expense |
61,000 |
|
Freight-out |
7,000 |
Sales discount |
8,000 |
|
Insurance expense |
12,000 |
Sales returns and allowances |
13,000 |
|
Rent expense |
20,000 |
Sales |
340,000 |
|
Dividends |
1,000 |
Instructions: Prepare the closing entries. (Marks 4
