Question

Which of the following documents are used as evidence of transactions for the purpose of accounting record? A Purchase order 6 B Sales order D Delivery order ? lmoice If an item of expense is not adjusted for accrual, which of the following is the most likely consequence? A The expense is understated 7 B The expense is overstated C The expense is correctly stared D The liability component in the balance sheet will be overstated 8 Which of the following journal entries suggests a reversal entry? Debit Accrual, Credit PrepaymentB C A Debit Expense, Credit Accrual Debit Accrual, Credit Cash D Debit Expense, Credit Prepayment The following are the benefits of migrating from cash-based accounting for the public sector except A cost savings B operational changes C transparency and accountability reporting 9 accounting to accrual -based D anti-fraud What is a main challenge facing the adoption of accrual-based accounting in the public sector in Malaysia? A Asset measurement methods, as certain types of assets and liabilities are peculiar to the 10 public sector B Creating awareness, reforming the legislature and regulatory structures, building capacity and competency, integrating the systems and better management of assets and liabilities C The need for mindset transformation of government employees D All of the above Structured Questions

Answer 1

6) answer c :- INVOICE

because invoice is considered to be an necessary supportive evidence and recognized by tax authority.IT consists of all details realating to transaction like GSTn no., gst rate, date, amount, units, consignor, consignee,etc.and

not just delivery , purchase or sales ordering details.

7) answer a:-the expense is understated

since the expense was omitted for recording, it amounts to lesser accounting of expense item which if rectified will increase the expense amount in books of accounts,

hence expense is understated.

8) answer d: debit expense, credit prepayment

for example: we have prepaid ,i.e. paid in advance rent .so we 'll pass journal entry

  

particular	debit	credit
prepaid rent	10000
rent		10000

at the beginning of next year following journal entry shall be passed

particular	debit	credit
rent	10000
prepaid  rent		10000

9) answer d) anti fraud

the migration doesn't ensures fraud elimination.fraud can still occur.

10) answer d) all of the above