Q10) 2GC Sdn Bhd bought computer on account worth RM5,000. The next day 2GC pay the creditor in full. These transactions will:

1. Increase assets & reduce assets
2. Increase assets & increase liabilities
3. Increase assets & reduce liabilities
4. Reduce assets & reduce liabilities

Q11) Income tax expenses will reduce ________________.

(i) Shareholders capital

(ii) Net Profit

(iii) Assets

(v) Liabilities

(a) (i) & (ii)

(b) (i), (ii) & (iv)

(c) (ii), (iii) & (iv)

(d) (ii) & (iv)

Q12) Failure to prepare the adjusting entries for prepaid expenses will __________ and ____________ of the Company.

1. Understate Net Income & Overstate Assets
2. Overstate Net Income & Overstate Assets
3. Understate Net Income & Understate Assets
4. Overstate Net Income & Understate Assets

Q13) Failure to recognize accrued expenses will ____________ and __________ of the Company

1. Understate Expenses & Understate Liabilities
2. Overstate Expenses & Overstate Liabilities
3. Understate Expenses & Overstate Liabilities
4. Overstate Expenses & Understate Liabilities

Q14) The functions and powers of Malaysian Accounting Standard Board (MASB) include the following except for:

1. Issues accounting and financial reporting standards in Malaysia
2. Review and revise the existing accounting standards
3. Ensure that Malaysian Accounting Standards (MAS) are consistent with International Accounting Standards
4. Provide view in issuing the MAS

Q15). When do you record expenses and revenue under Accrual Concept?

1. Incurred & Earned
2. Incurred & Received
3. Paid & Received
4. Paid & Earned

Q16) Accountants record business transactions based on standards issued by MASB. The concept that can explain the reason for doing so would be?

(a) Materiality Concept

(b) Conservatism Concept

(c) Objectivity Concept

(d) Realisation Concept

Q17) Financial Statements of a company include the following, except for?

(i) Statement of financial position

(ii) Statement of Profit or Loss

(iii) Statement of Cash flows

4. Statement of Changes in Equity

(a) (i), (ii), (iii) & (iv)

(b) (i), (ii) & (iii)

(c) (i), (ii) (iii) & (iv)

(d) None of the above