DASTOOR ...... My Most Favourite of HABIB JALIB

The poem was originally written In 1962, when Field Marshal Ayub Khan formulated the new constitution and was playing the flute of his administrative capabilities, Jalib called it faulty. He called it a tool of exploitation and wrote his most memorable poem Dastoor which shattered the manipulated intentions of the government.


The light which shines only in palaces
Burns up the joy of the people in the shadows
Derives its strength from others’ weakness
That kind of system,
like dawn without light
I refuse to acknowledge,
I refuse to accept

I am not afraid of execution,
Tell the world that I am the martyr
How can you frighten me with prison walls?
This overhanging doom,
this night of ignorance,
I refuse to acknowledge,
I refuse to accept

“Flowers are budding on branches”, that’s what you say,
“Every cup overflows”, that’s what you say,
“Wounds are healing themselves”, that’s what you say,
These bare-faces lies,
this insult to the intelligence,
I refuse to acknowledge,
I refuse to accept

For centuries you have all stolen our peace of mind
But your power over us is coming to an end
Why do you pretend you can cure pain?
Even if some claim that you’ve healed them,
I refuse to acknowledge,
I refuse to accept


Deep jis ka sirf mehellaat hi main jalay,
Chand logon ki khushyon ko lay ker chalay,
Wo jo saye main har maslihat kay palay;
Aisay dastoor ko,
Subh e bay noor ko,
Main naheen maanta,
Main naheen jaanta.

Main bhee kha’if naheen takhta e daar say,
Main bhee Mansoor hoon, keh do aghyaar say,
Kyun daraatay ho zindaan ki divar say,
Zulm ki baat ko,
Jehel ki raat ko,
Main naheen maanta,
Main naheen jaanta.

Phool shaakhon pay khilnay lagay tum kaho,
Jaam rindon ko milnay lagay tum kaho,
Chak seenon kay silnay lagay tum kaho,
Iss khulay jhoot ko,
Zehan ki loot ko,
Main naheen maanta,
Main naheen jaanta.

Tum nay loota hai sadyon hamara sakoon,
Ab na hum per chalay ga tumhara fasoon,
Chara gar main tumhain kiss tara say kahoon?
Tum naheen charaagar,
Koi maanay magar,
Main naheen maanta,
Main naheen jaanta.




Petty cash refers to small amounts of cash kept on hand in a business. (The term "petty" comes from "petite," or "small.") There are two reasons to keep petty cash:

* To make change for customers or patients
* To pay for small purchases which require cash, such as food for the office lunch or coffee supplies, or for parking. Most retail businesses keep a cash drawer as do health care practices.


Every purchase using petty cash must be documented in the same way as other business income and expenses. Using a petty cash log or petty cash slips will help capture these expenses so they can be used to offset income for business tax purposes.

Keep as much cash as you need in your cash drawer, but not too much, so it isn't a temptation for employees or robbers.
Also Known As: Cash on Hand
Examples: The petty cash drawer was used to make change and pay for incidental business expenses.



Select the appropriate response.

1. Which of the following characteristics is considered to be an advantage of the corporate form of organization?

a. Avoidance of double taxation
b. Limited liability of stockholders
c. Low level of regulation
d. The absence of a perpetual existence


2. Of the following characteristics, which is not generally regarded as a right of common shareholders?

a. Preemptive right
b. Voting rights
c. Preference in liquidation
d. Transferability of shares


3. The appropriate journal entry to record the issue of 1,000 shares of $1 par-value common stock, which is issued for $4 per share would be:

a. Cash 4,000
Common Stock 4,000

b. Cash 4,000
Common Stock 1,000
Paid-in Capital in Excess of Par 3,000

c. Cash 4,000
Common Stock 1,000
Retained Earnings 3,000

d. Cash 1,000
Paid-in Capital in Excess of Par 3,000
Common Stock 4,000


4. If 1,000 shares of $10 par-value common stock are issued in exchange for land with a fair market value of $25,000, the land and common stock (along with any additional paid-in capital) should be recorded at:

a. $0
b. $1,000
c. $10,000
d. $25,000


5. Jackson Corporation has 500,000 shares of common stock outstanding. On April 10, the board of directors declared a $0.60 per share cash dividend, to be paid to stockholders of record on April 25. The dividend was distributed on June 6. The proper journal entry to record on June 6 is:

a. Dividends Expense 300,000
Cash 300,000

b. Dividends Payable 300,000
Cash 300,000

c. Retained Earnings 300,000
Cash 300,000

d. Dividends Payable 300,000
Retained Earnings 300,000


6. Dividends omitted on preferred shares that must be paid before common shareholders are entitled to be paid are referred to as:

a. Participating
b. Callable
c. Cumulative
d. In arrears


7. Magic Corporation paid $100,000 in dividends. The corporation had 10,000 shares of common stock outstanding and 5,000 shares of $100 par value 5% preferred stock. The preferred stock was two years in arrears prior to the current year. How much was paid to the common stockholders?

a. $0
b. $25,000
c. $50,000
d. $75,000


8. In reviewing corporate equity on a balance sheet, what would be included in the description "Total Capital Stock"?

a. Par value of preferred
b. Par value of common
c. Paid-in capital in excess of par value
d. Both (a) and (b)


9. Which of the following statements about treasury stock is false?

a. Gains are not recorded on treasury stock transactions, but losses are.
b. Acquiring treasury stock causes stockholders' equity to decrease.
c. Treasury stock is reported as a deduction from stockholders' equity.
d. The excess of the sales price of treasury stock over its cost should be credited to Paid-in Capital from Treasury Stock.


10. Elmer Company has 500,000 shares of common stock authorized. The stock has a par value of $1.50 per share, and 150,000 shares are outstanding. The company declared a 5% stock dividend at a time when the market value was $7 per share. What entry, if any, should Elmer record for the declaration?

a. No entry

b. Retained Earnings 11,250
Common Stock 11,250

c. Retained Earnings 52,500
Stock Dividend Distributable 11,250
Paid-in Capital in Excess of Par 41,250

d. Stock Dividends Payable 11,250
Retained Earnings 41,250
Common Stock 52,500




1. The present value factor at 8% for one period is 0.92593, for two periods is 0.85734, for three periods is 0.79383, for four periods is 0.73503, and for five periods is 0.68058. Given these factors, what amount should be deposited in a bank today to grow to $100 three years from now?

a. $100/0.79383
b. $100/(0.92593/3)
c. ($100/0.92593 + $100/0.85734 + $100/0.79383)
d. $100 X 0.79383


2. You are thinking of borrowing $250,000 to buy a new house. If you are going to finance this purchase at 12% interest per annum, and make 360 level monthly payments to pay off the loan, how much will your payments be?

a. $250,000/360
b. $250,000/present value factor for lump sum at 360 months and 1% per period
c. $250,000/present value factor for annuity of 360 months at 1% per period
d. $250,000 X present value factor for annuity of 360 months at 1% per period


3. Assume that Kamchatny Vladimir borrowed $100,000 on January 1 of Year 1, at 5% interest per annum. On December 31, of Year 1, an $8,000 payment is made. On December 31, of year 2, another $8,000 payment is made. Using normal assumptions about interest and principal reduction, how much is the unpaid balance of Vladimir's loan after the second payment?

a. $100,000
b. $94,000
c. $93,850
d. 84,000


4. Bonds payable should be disclosed on the balance sheet.

a. At their face value minus any unamortized premiums.
b. At their face value plus any unamortized premiums.
c. At their maturity value.
d. At their face value.


5. When the contract interest rate for a bond exceeds the effective interest rate of the bond, then:

a. The price of the bond will be equal to the future cash flow associated with the bond.
b. The bond will be issued at a premium.
c. The bond will be issued at a discount.
d. The face value of the bond will fluctuate over its life.


6. On June 1, Surge Corporation issued $100,000 of 9%, 5-year bonds. The bonds are dated June 1, 19X1. The bonds were issued at 96, and pay interest on December 1 and June 1. The entry to record issuance of the bonds is:

a. Cash 100,000
Bonds Payable 100,000

b. Cash 96,000
Discount on Bonds Payable 4,000
Bonds Payable 100,000

c. Cash 104,000
Bond Interest Payable 4,000
Bonds Payable 100,000

d. Cash 96,000
Bond Interest Expense 4,000
Bonds Payable 100,000


7. On April 1, 20X1, German Corporation issued $100,000 of 7%, 5-year bonds dated April 1, 20X1, at 101. Interest is paid on March 31 and September 30. The proper entries to record bond interest expense for the (entire) year ended 20X1 would include a decrease in interest expense for premium amortization in the amount of (round to the nearest dollar and assume straight-line amortization):

a. $0
b. $117
c. $150
d. $200


8. Jeske Company issued $1,000,000 of 8% bonds at a time when the market rate of interest was 10%. If the bonds were issued at a $50,000 discount and interest was paid annually, how much was interest expense for the first full year of the bond issue (utilize the effective-interest amortization technique)?

a. $76,000
b. $80,000
c. $95,000
d. $100,000


9. When interest payment dates on a bond are June 1 and December 1, and the bond is sold on July 1, the amount of cash received at issuance will be:

a. Decreased by accrued interest from July 1 to December 1.
b. Decreased by accrued interest from June 1 to July 1.
c. Increased by accrued interest from July 1 to December 1.
d. Increased by accrued interest from June 1 to July 1.


10. Billings Corporation retired $1,000,000 face of bonds payable. At the time of the retirement, the bonds had unamortized discount of $20,000, and all interest accruals and payments were current. Under the outstanding covenants, Billings was required to pay the bond holders 103.

a. The transaction caused Billings to recognize a loss of $50,000.
b. The transaction caused Billings to recognize a gain of $50,000.
c. The transaction caused Billings to recognize a loss of $30,000.
d. The transaction caused Billings to recognize a gain of $20,000.




Select the appropriate response.

1. Typical current liabilities include:

a. Prepayments by customers.
b. Travel advances to employees.
c. The principal portion of a mortgage note that is due beyond one year or the operating cycle, whichever is longer.
d. Accumulated depreciation.


2. Contingent liabilities should be recorded in the accounts when:

a. It is probable that the future event will occur.
b. The amount of the liability can be reasonably estimated.
c. Both (a) and (b).
d. Either (a) or (b).


3. On June 1, Whit Corporation purchased a truck for $30,000. To pay for the truck, Whit issued and recorded a six-month note payable for $31,500. No other entry was recorded for the note until payment on December 1. The journal entry to record payment of the note would include:

a. A debit to Interest Expense for $1,500.
b. A debit to Discount on Notes Payable for $1,500.
c. A debit to Notes Payable for $30,000.
d. A debit to Cash for $31,500.


4. The Discount on Notes Payable:

a. Is a contra liability account.
b. Is a contingent liability account.
c. Should be reported as an asset because of its debit balance.
d. Is amortized to reduce interest expense over the life of the note payable.


5. If the journal entry to record an accrued liability were accidentally recorded twice, it would:

a. Understate income for the year.
b. Overstate income for the year.
c. Have no effect on income for the year.
d. Understate accrued liabilities at the end of the year.


6. Landry paid $5,000 cash for warranty service work. If a Warranty Liability account had been previously established, the proper journal entry to record the service work would be:

a. Sales 5,000
Cash 5,000

b. Warranty Expense 5,000
Warranty Liability 5,000

c. Warranty Expense 5,000
Cash 5,000

d. Warranty Liability 5,000
Cash 5,000


7. The employee's withholding allowance certificate is popularly referred to as a:

a. W-2.
b. W-4.
c. Form 1040.
d. Payroll register.


8. The FICA tax is levied on:

a. Employees only.
b. Employers only.
c. Both employees and employers.
d. Earnings in excess of base amounts.


9. Burgundy Drug Store paid $137,000 in salaries during 20X1. Salary expense for the year was $148,500 and salaries payable at the end of 20X1 amounted to $17,300. What was the amount of salaries payable as of January 1, 20X1?

a. $5,800
b. $11,500
c. $17,300
d. $28,800


10. The gross payroll for Zurich Corporation was $100,000. Federal income tax withheld from employee paychecks amounted to $24,000, state income tax withheld amounted to $3,000, Social Security amounted to $8,500 (both the employee and employer portion), and Medicare amounted to $3,500 (both the employee and employer portion). Furthermore, employees elected to have $1,000 of insurance and charitable contributions withheld from their paychecks. How much was net pay?

a. $34,000
b. $60,000
c. $66,000
d. $72,000




Select the appropriate response.

1. Cross Country Trucking Company recently replaced the oil filter on one of its cross country rigs. How should one account for this cost?

a. As a repair and maintenance expense.
b. As an increase in the cost of the truck.
c. As a reduction in accumulated depreciation associated with the truck.
d. As an intangible asset.


2. On January 1, 20X2, Lynn Corporation purchased a machine for $100,000. Lynn paid shipping expenses of $1,000 as well as installation costs of $2,400. The machine was estimated to have a useful life of ten years and an estimated salvage value of $6,000. In January 20X3, additions costing $7,200 were made to the machine. These additions significantly improved the quality of output, but did not change the life or salvage value of the machine. If Lynn records depreciation under the straight-line method, depreciation expense for 20X3 is:

a. $9,740
b. $10,340
c. $10,540
d. $11,140


3. If an asset is impaired, and future cash flows will not allow recovery of the recorded amount, then the firm should reduce the asset in the accounts. In addition,

a. a loss should be recognized.
b. an intangible asset should be recorded.
c. the asset should be discarded.
d. depreciation should cease.


4. A machine that cost $18,000, with a book value of $4,000, is sold for $3,400. Which of the following is true concerning the journal entry to record the sale?

a. Accumulated Depreciation is debited for $4,000.
b. Machinery is credited for $4,000.
c. Loss on sale of machinery is credited for $600.
d. Accumulated Depreciation is debited for $14,000.


5. The sale of a depreciable asset resulting in a loss indicates that the proceeds from the sale were:

a. Less than current market value.
b. Greater than cost.
c. Greater than book value.
d. Less than book value.


6. Equipment costing $3,000 with accumulated depreciation of $2,125 is exchanged for another asset with a fair value of $625. The exchange has commercial substance. How much is the gain or loss on this transaction?

a. A gain of $250 should be recognized.
b. A loss of $250 should be recognized.
c. A loss of $500 should be recognized.
d. No gain or loss should be recognized.


7. Deep Gold Mining Company recognizes $4 of depletion for each ton of ore mined. This year, 300,000 tons of ore were mined but only 180,000 were sold. The amount of depletion which should be deducted from revenue this year is:

a. $0
b. $480,000
c. $720,000
d. $1,200,000


8. Which of the following terms best relates to natural resources?

a. Depreciation.
b. Depletion.
c. Amortization.
d. Accrual.


9. On January 5, 20X1, a corporation was granted a patent on a product. On January 2, 20X9, to protect its patent, the corporation purchased a patent on a competing idea that was originally issued on January 10, 20X5. Because of its unique nature, the corporation does not feel the competing patent can be used in producing a product. The cost of the competing patent should be:

a. Amortized over a maximum period of 20 years.
b. Amortized over a maximum period of 13 years.
c. Amortized over a maximum period of 12 years.
d. Expensed in 20X9.


10. Which of the following statements regarding goodwill is false?

a. The difference between the price paid to purchase a particular company, and the fair value of the underlying identifiable assets received (less liabilities assumed) is goodwill.
b. Goodwill should not be amortized, but should be evaluated for impairment.
c. Goodwill is an intangible asset.
d. Goodwill may be recorded for a company whether it is internally generated or purchased.