[기출문제] 서울대학교 회계원리 2024-2 기말 기출문제 (정답 포함)

Part A: T/F and Multiple Choice Questions 

[Q 1-5: Indicate whether the statement is true (T) or false (F).] 

1. The relationship between current liabilities and current assets is important in evaluating a company's ability to pay off its long-term debt. 

2. The change in cash is equal to the change in liabilities less the change in equity plus the change in non-cash assets. 

3. When treasury shares are purchased, the cost is debited to Share Capital - Ordinary. 

4. The statement of cash flows classifies cash receipts and payments as operating, nonoperating, and financial activities. 

5. Depending on whether a company uses the straight-line or declining-balance method, annual depreciation expense varies, but total depreciation over the useful life is the same. 

[Q 6-20: Pick the best answer listed for each question below.] 

6. Tang Inc. was authorized to issue 1,500,000 ¥1,000 par value ordinary shares. As of December 31, 2025, the company had issued 240,000 shares for proceeds of ¥594,000,000. During 2025, the company purchased 30,000 treasury shares at a total cost of ¥66,000,000. Later in the year, the company sold half of the treasury shares for ¥42,900,000. The balance in retained earnings at December 31, 2025 was ¥972,000,000. The balance in the Treasury Shares account reported on the December 31, 2025 statement of financial position is:

a. ¥9,900,000. 

b. ¥33,000,000. 

c. ¥42,900,000. 

d. ¥66,000,000. 

7. During 2025, Hitchcock Inc. had sales on account of $528,000, cash sales of $216,000, and collections on account of $336,000. In addition, they collected $5,850 which had been written off as uncollectible in 2024.  As a result of these transactions, the change in the accounts receivable balance indicates a:

a. $402,150 increase. 

b. $192,000 increase. 

c. $186,150 increase. 

d. $408,000 increase. 

8. Sandwick Corporation was organized on January 1, 2025, with authorized capital of 750,000 ordinary shares with a $10 par value. During 2025, Sandwick issued 40,000 shares at $12 per share, purchased 4,000 treasury shares at $13 per share, and sold 4,000 treasury shares at $14 per share.  What is the increase in total equity during 2025?

a. $0 

b. $400,000 

c. $84,000 

d. $484,000 

9. On May 1, 2025, Pinkley Company sells office furniture for €80,000 cash. The office furniture originally cost €200,000 when purchased on January 1, 2018. Depreciation is recorded by the straight-line method over 10 years with a residual value of €20,000.  What gain should be recognized on the sale?

a. €6,000. 

b. €12,000. 

c. €12,667. 

d. €24,000. 

10. If beginning inventory is understated by $10,000, the effect of this error in the current period is: 
   | Cost of Goods Sold  | Net Income  | 
a. | Understated  | Overstated  | 
b. | Overstated  | Understated  | 
c. | Understated  | Understated  | 
d. | Overstated  | Overstated  |

11. In a recent year Hill Corporation had net income of $120,000, interest expense of $20,000, and tax expense of $40,000.  What was Hill Corporation's times interest earned for the year?

a. 9 

b. 8 

c. 7 

d. 6 

12. Which of the following statement regarding depreciation is false? 

a. The concept of depreciation is inconsistent with the going concern assumption. 

b. Recognizing depreciation on an asset does not result in an accumulation of cash for replacement of the asset. 

c. The three factors affecting the computation of depreciation include cost, useful life, and residual value. 

d. Accumulated depreciation is reported on the statement of financial position as a deduction from the PPE. 

13. The declining-balance method of depreciation produces:

a. a decreasing depreciation expense each period. 

b. an increasing depreciation expense each period. 

c. a declining percentage rate each period. 

d. a constant amount of depreciation expense each period. 

14. When the effective-interest method of bond discount amortization is used:

a. the applicable interest rate used to compute interest expense is the prevailing market interest rate on the date of each interest payment date. 

b. the carrying value of the bonds will decrease each period. 

c. interest expense will not be a constant dollar amount over the life of the bond. 

d. interest paid to bondholders will be a function of the effective-interest rate on the date the bonds are issued. 

15. Which of the following is not true of ordinary repairs? 

a. They primarily benefit the current accounting period. 

b. They can be referred to as revenue expenditures. 

c. They maintain the expected productive life of the asset. 

d. They increase the productive capacity of the asset. 

16. Orr Corporation sold equipment for $20,000. The equipment had an original cost of $60,000 and accumulated depreciation of $30,000.  As a result of the sale:

a. net income will increase $20,000. 

b. net income will increase $10,000. 

c. net income will decrease $10,000. 

d. net income will decrease $20,000. 

17. Which of the following transactions affects only statement of financial position accounts (and not the income statement)? 

a. Recovery of a bad debt using the allowance method. 

b. Recording bad debt expense using the allowance method. 

c. Writing off a bad debt using the direct write-off method. 

d. Recording bad debt expense using the percentage of sales basis. 

18. Sales taxes collected by a retailer are reported as:

a. provisions. 

b. revenues. 

c. expenses. 

d. current liabilities. 

19. Caps On Company manufactures sporting goods and clothing. Caps On sold merchandise to Pro Sports Company on June 5, 2025 for $3,000, terms 2/10, n/30. On June 9, 2025 Pro Sports returns merchandise worth $200 to Caps On. On June 14, 2025 Caps On receives payment in full from Pro Sports.  Which of the following is true regarding the transaction on June 14, 2025?

a. Caps On receives $2,800 from Pro Sports. 

b. Caps On receives $2,744 from Pro Sports. 

c. Pro Sports will pay $2,940 to Caps On. 

d. All of these answer choices are correct. 

20. The entry to record merchandise returned to the seller includes a (from the seller's perspective):

a. debit to Sales Returns and Allowances. 

b. debit to Sales Revenue. 

c. credit to Inventory. 

d. credit to Sales Returns and Allowances. 

Part B: Problems 

Problem 21 (16 marks) Oxford Inc. was authorized to issue 200,000 £10 par value ordinary shares. As of December 31, 2025, the company had issued 88,000 shares at a price of £22 per share. During 2025, the company felt that the shares were undervalued so it purchased 20,000 treasury shares at £18 per share. When the share price rebounded later in the year, the company sold 8,000 of the treasury shares for £25. Retained earnings was £3,316,000 at December 31, 2025. 

Required:  (1) What is the balance of Treasury Shares at December 31, 2025?  (2) What is the balance of Share Capital -Ordinary at December 31, 2025?  (3) What is the balance of gain from disposal of treasury shares at December 31, 2025?  (4) What is the total equity at December 31, 2025? 

Problem 22 (10 marks) At December 31, 2025, the end of its first year of operations, Franklin SA chose to use the revaluation method for its equipment. Franklin's ledger shows Equipment of €750,000 and Accumulated Depreciation - Equipment €150,000. 

Required:  (1) Independent appraisers determine that the equipment has a fair value of €660,000. Provide the journal entries to record the revaluation.  (2) Using your answer from part (a), what would be the amount of Franklin's 2026 depreciation? Assume no change in the value of Franklin's equipment in 2026, a 4-year remaining life, and no residual value. 

Problem 23 (14 marks) A corporation issued ¥800,000, 10%, 5-year bonds on January 1, 2025 for ¥864,888, which reflects an effective-interest rate of 8%. Interest is paid annually on January 1. The corporation uses the effective-interest method of amortization of bond premium. 

Required:  (1) What is the amount of bond interest expense to be recognized on December 31, 2025?  (2) Provide the journal entry to record the first interest accrual and amortization of discount on December 31, 2025.  (3) What is the carrying value of bond payable reported on the statement of financial position on December 31, 2025?

Part A: T/F and MCQs Answers
T/F Answers: 1-F, 2-F, 3-F, 4-F, 5-T
MCQ Answers: 6-b, 7-b, 8-d, 9-b, 10-a, 11-a, 12-a, 13-a, 14-c, 15-d, 16-c, 17-a, 18-d, 19-b, 20-a

Part B: Problems Solutions
Problem 21 (16 marks)
(1) Treasury Shares Balance: 216,000 
(2) Share Capital - Ordinary Balance: 880,000
(3) Balance of gain from disposal of treasury shares: 56,000 
(4) Total equity at December 31, 2025: £5,092,000(Calculation: Contributed capital 1,936,000 + gains from disposal 56,000 + retained earnings 3,316,000 - treasury shares 216,000) 

Problem 22 (10 marks)
(1) Journal Entries:
•        Accumulated Depreciation- Equipment (Dr.) 150,000 
•        Equipment (Cr.) 90,000 
•        Revaluation Surplus (Cr.) 60,000 
(2) 2026 Depreciation Expense: €165,000 (Calculation: €660,000 - €0 = €660,000; €660,000 / 4 years = €165,000) 

Problem 23 (14 marks)
(1) Bond interest expense: ¥69,191 (or 69,191.04) 149
(2) Journal Entry (Dec 31, 2025):
•        Interest expense (Dr.) 69,191 
•        Bond payable (Dr.) 10,809 
•        Interest payable (Cr.) 80,000 
(3) Carrying value (Dec 31, 2025): 854,079