Professional Documents
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FACULTY OF BUSINESS
DEPARTMENTOFACCOUNTINGAND FINANCE
(2003/4)
2.
DO NOT OPEN TillS PAPER UNTIL YOU HAVE BEEN TOLD TO D( SO BY THE SUPERVISOR/INVIGILATOR
J~ of Pages 5 o.
Question 1
The following Trial Balance has beenextracted from the books of Sonny Supermarket,a generaltrading businessowned by Mr Sonny, as at 30thSeptember 2003.
Equipment: 15%using the diminishing balance method 3. Wages and salariesaccrued by P420.
4. Purchasesinclude goods valued at P3 120 withdrawn b:r Sonny for personal use. 5 Doubtful debts should be provided for at 1% of trade df:btors outstanding as at
30thSeptember 2003. 6. Other operating expensesinclude prepaid insurancechargesof PI 500 and an amount ofP2 300 for packaging material that was incurred to put stock into a
saleable condition.
As Sonny Supernlarketbusinessaccountant,you are required to prepare the following in good form:
a) b)
Trading, Profit and Loss Account for the year ended 30th September2003 (40 marks). A Balance Sheetas at 30thSeptember 2003 (15 marks)
Question 2
The following is a summary from the cashbookof Broadhurst ~;upermarket the month for of March 2004.
Cashbook
cashbook.
2. The bank had debited a cheque for P370 into the busine5saccounterroneously.
3 Chequestotaling P960 had not yet beenpresentedto thf: bank for payment
Interest received ofP420 had beencredited on the ban}l,statementbut not
recorded the cashbook in 5. There were chequesreceived ofP4 840 which were ent(:red in the cashbook but
not yet credited to the company's account by the bank.
6. A cheque for P170 had beenreturned by the bank markt:d 'Refer to Drawer' but
no entry relating to this has beenmade in the company books
7. The opening balance in the cashbook should have beenP6 510 and not P5 610 8 The bank statementshows that there is an overdraft of PI 980 as at 31 stMarch 2004.
You are required to: a) Up date the cashbook
(15 marks)
4.
Question ~
Discuss following terms: the a) b) c) Trial Balance AccrualsConcept
Balance Sheet
(15 Marks)