Accounting Grade 10 KwaZulu Natal June 2017 Paper & Memo

a MARKS: 200 TIME : 2 hours Copyright Reserved Education KwaZulu-Natal Department of Education REPUBLIC OF SOUTH AFRICA PPM EAM AM AKANE AMEE E ENE R ESAS AREAL EAE ERE | ACCOUNTING JUNE 2017 COMMON TEST NATIONAL SENIOR CERTIFICATE [ GRADE 10 | N.B. This paper consists of 9 pages and an answer booklet of 6 pages. Please Turn Over

Downloaded from hlayiso.com Accounting (Grade 10) NSC June 2017 Common Test 2 INSTRUCTIONS AND INFORMATION 1. You are provided with a question paper and an ANSWER BOOKLET in which to answer ALL questions. 2. This question paper comprises FOUR compulsory questions. Answer ALL. the questions. 3. Use the format provided in the answer book in order to reflect your answers. 4. Where applicable-workings must be shown in order to achieve part-marks. 5. Non-programmable calculators may be used, 6. You may use dark pencil or blue/black ink to answer the questions. 7. Use the information in the table, below, as a guide when answering the question paper. Try NOT to deviate from it. QUESTION 1 (72 Marks; 44 Minutes) Topic of the question This question integrates: Financial accounting Salaries And Wages * Salaries Journal « Analysis of wages transactions * Concepts Managing resources « _ Internal controls QUESTION 2 (22 Marks; 13 Minutes) Topic of the question This question integrates: Managing resources Value Added Tax ¢ Ethics Financial accounting * Concepts QUESTION 3 (79 Marks; 47 Minutes) Topic of the question This question integrates: Financial accounting SOLE TRADER * Capital account Final Ledger Accounts * Trading Account * Profit and loss account QUESTION 4 (27 Marks; 16 Minutes) Topic of the question This question integrates: Managing resources Problem Solving, Internal Control and Ethics « Ethics and Problem Solving Financial accounting e Calculating Cost Copyright Reserved Please Turn Over

| | | Downloaded from hlayiso.com Accounting (Grade 10) NSC June 2017 Common Test 3 QUESTION 1 (72 Marks; 44 Minutes) SALARIES JOURNAL 11. SALARIES JOURNAL You are provided with information related to Nhlanhleni Traders for June 2017. REQUIRED: 1.1.1. Complete the salaries journal for the month ending 30 June 2017. (45) 1.1.2. You have been appointed as an internal auditor of the business. What concern would you have with regards to salaries and give ONE point of advice, (5) INFORMATION: Nhlanhleni Traders employs three salaried workers (Thuly Vilakazi, Themba Mbhele and Shukela Gumede) who are paid on a monthly basis. They are remunerated as follows: Basic salary Overtime Sundays/ Public holidays 160 hours per month 20 hours per month 25 hours per month _@ R 80 per hour @R 120 per hour @ R 150 per hour, The three workers worked the following number of hours: Employee Hours worked Thuly Vilakazi 160 hours basic hours, 20 hours overtime Themba Mbhele 160 hours basic hours, 20 hours overtime, 25 hours Sundays Shukela Gumede 160 hours basic hours, 25 hours Sundays The following deductions must be taken into account per month: The PAYE is calculated at 22 % of gross salaries. Medical aid is R 900 per month. The business contributes R 2,50 for every R 1, 00 deducted from the employee. The UIF is 1% of basic salary for each employee, the business contributes R 1, 00 for every R 1, 00 deducted from employee. Pension fund deduction is at 7,5% of normal basic salary. Pension fund contribution is 10,5% of basic salary. Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Accounting (Grade 10) 1.2. NSC June 2017 Common Test 4 WAGES JOURNAL — TRANSACTIONS ANALYSIS You are provided with information taken from Dwaleni Traders, REQUIRED: Analyse the following transactions according the example given. Assume the bank has favourable balance at all times. Example: (22) * Bought merchandise on credit R 26 500. NO General Ledger Account Account DR CR TRANSACTIONS: AMOUNT A fe) L 1. The following appears in the wages journal of Dwaleni Traders for the week ending 15 June 2017. N.B: analyse transaction for net wages, deductions and contributions. Gross wages 99 500 Deductions Pension fund 11 800 PAYE 29 850 Employers contribution Pension fund contribution — 150% of employees deductions R Copyright Reserved Please Turn Over

Accounting (Grade 10) QUESTION 2 Value Added Tax Downloaded from hlayiso.com NSC June 2017 Common Test 5 (22 Marks; 13 Minutes) 2.1. VAT 2.1.1. What does VAT stand for? (2) 2.1.2 What is the current VAT rate in South Africa? (2) 2.1.3. What is the rate of VAT charged on the price of brown bread? (2) 2.1.4 Complete the following table in respect of VAT: Taxes paid | Type of } Direct or Taxes paid on by taxation | indirect taxation Employees A Direct B Cc VAT D Goods/expenses/services (8) 2.1.5 A Shady, owner of Shady Stores, is not registered for VAT. However, he charges VAT to all his customers and he does not pay the VAT over to SARS. Comment on his practice and state wh at consequences he could be faced with if he is reported to SARS. (8) Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Accounting (Grade 10) NSC June 2017 Common Test 6 QUESTION 3 (79 Marks; 47 Minutes) SOLE TRADER: FINAL LEDGER ACCOUNTS REQIURED: 3.1. Calculate the Capital Balance at the end of the year 2017. (7) 3.2. Trading Account (14) 3.3. Profit and Loss Account (58) _ Information: The following information is related to Pongola Traders. Their financial year ends on 28 February.each year. The business is owned by Gugu Mamba. Pre-adjustment trial balance of Pongola Traders on 28 February 2017 BALANCE SHEET ACCOUNTS SECTION Debit Credit Capital 435 875 Drawings 17 685 Land and building 456 862 Vehicles 367 200 Accumulated depreciation vehicles 62 400 Equipment 88 000 Accumulated depreciation equipment 54 660 Fixed Deposit : AFM Bank 18 750 Loan: CAPS Bank (12% p.a.) 103 500 Trading stock 34 650 Debtors’ control 29 460 Creditors’ control 21 435 Bank overdraft 52 550 Cash float 750 NOMINAL ACCOUNTS SECTION Sales 679 200 Cost of sales 346 350 Debtors’ allowances 1 875 Salaries and wages 54 000 Rent Income 40 000 Bad debts recovered 16 335 Insurance 10 128 Bad debts 975 Stationery 8 400 Water and Electricity 4 395 Discount allowed 675 Interest on overdraft 2 250 Interest on fixed deposit 12 300 Depreciation 16 020 Discount received 270 1 468 475 1 468 475 Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Accounting (Grade 10) NSC June 2017 Common Test 7 Additional information and adjustments 1, 10. A debtor returned damaged goods for R 2 400 on 28 February 2017, these goods were sold at 80% of normal selling price and this was not recorded. The mark up on these goods was 50% on cost. After a physical stocktaking, the following stock was on hand on 28 February 2017: * Trading inventory R 33 600 * Stationery R270 * The owner took stationery for R 500 before the stock taking for personal use. No entry has been made. The rent for March has been received in advance and recorded. NB: The rent increased by R 200 on 1 November 2016. The salary of an employee, was not processed for the month of February 2017. Use the details provided and make the necessary entries to process her salary. Gross Salary R 18 000 PAYE 10% of gross salary Pension Fund R_ 720 Medical Aid R 1.200 per month UIF 1% of gross salary The business contributes toward UIF and Pension Fund on a Rand for Rand basis. The contributions are debited to salaries and wages account. The insurance amount includes an annual payment of R6 300 that was paid on 1 October 2016 for the period 1 October 2016 to 30 September 2017. The water and electricity amount of R465 is still owing. A debtor J Black, was declared insolvent. A dividend of 40 cents in the rand for R 900 was received and recorded, the rest must be written off as irrecoverable. An amount of R1 500 was received from a debtor whose account was previously written off. The bank statement was received after the trial balance was drawn up. The following items still need to be recorded « Bank charges R 540 ¢ Interest on overdraft R 2750 The business sells items on a commission basis. Commission totaling R12 000 for sales made during February is still due to the business. Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Accounting (Grade 10) NSC June 2017 Common Test 11, 12 13. Copyright Reserved 8 The loan Statement from CAPS Bank showed the following * Balance on 28 Feb 2016 R 125 340 « Repayments R 25000 The Bank capitalizes the interest each month. Anew vehicle costing R 160 200 was bought on 1 November 2016. The entry has been properly recorded. Depreciation should be calculated as follows: * Equipment at 15% per annum on cost price method e Vehicles at 10% per annum on diminishing balance method, the bookkeeper had already calculated the depreciation on the new vehicle but erroneously calculated it for the whole year. Correct the error. Please Turn Over

Downloaded from hlayiso.com Accounting (Grade 10) QUESTION 4 NSC 9 (27 Marks; 16 Minutes) PROBLEM SOLVING INTERNAL CONTROL AND ETHICS 4.1. PROBLEM SOLVING AND COST CALCULATIONS REQUIRED: 4.1.1. Calculate the amounts denoted by letters A - F. 4.1.2. Consider the information provided on 30 June 201. Identify ONE problem per taxi. Quote figures to support your opinion. Give ONE point of advice in each case. INFORMATION: Vusi Ngobese run a taxi business called Gatsheni Taxi Service at eBhubesini. He is concerned that his income from taxi fares has not met his budget of R 2 000 000. And that the fuel cost and repair costs have exceeded his budget of R 950 000. June 2017 Common Test (18) They have extracted the following information from the Ledger, the Fixed Assets Register and other records on 30 June 2017, the last day of the financial year. Copyright Reserved Details NTU 1111 NTU 1583 | NTU 1754 Name of the Driver Lekota Mandala Mageza Date of purchase 1 July 2008 | 1 July 2015 | 1 July 2016 Cost of Vehicle R 75 000 A R 360 000 Accumulated Depreciation B; R123 000 R 72 000 Carrying Value R1 R 82 000 G Amount of Income cashed R1080000| R288000} R306 000 Kilometers covered during the year Dj} 70000KM| 34000 KM Fuel and repair costs for the year R 732.000} R336 000 E Fuel and repair cost per kilometer R6.10 F R 4.70 Total Marks: 200

Downloaded from hlayiso.com

Downloaded from hlayiso.com PHS. Education KwaZulu-Natal Department of Education REPUBLIC OF SOUTH AFRICA ¢ 7h, gt A AEA RBA ER ALLA DARREL EERE RR BE AE, MAAR ERESAELE LS | ACCOUNTING ANSWER BOOK JUNE 2017 COMMON TEST NATIONAL SENIOR CERTIFICATE GRADE 10 Name: Grade: Learners | Moderators Question Topic Mark Mark Salaries and Wages Value Added Tax 1 2 3 Final Ledger Accounts 4 Problem Solving and Internal controls TOTAL N.B. This answer book consists of 6 pages. Copyright Reserved Piease Turn Over

Downloaded from hlayiso.com Accounting (Grade 10) 2 June 2017 Common Test NSC QUESTION 1 1.1.1. SALARIES JOURNAL SALARIES JOURNAL OF NHLANHLENI TRADERS ON 30 JUNE 2017 Employee Basic Salary | Overtime | Gross Salary Amount Amount Amount Employee Deductions : Net Medical | Pension UIF PAYE Total Salary Aid Fund | Fund Employee Contributions Total Medical Pension Aid Fund Fund UIF 4.1.2. You have been appointed as an internal auditor of the business. What concern would you have with regards to salaries and give ONE point of advice. (5) Concern: Advice: Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Accounting (Grade 10) 3 NSC June 2017 Common Test 1.2, ANALYSIS OF TRANSACTIONS AND EFFECTS IN THE ACCOUNTING EQAUTION NO General Ledger Account DR _| Account CR AMOUNT Copyright Reserved Please Turn Over

~ Downloaded from hlayiso.com Accounting (Grade 10) 4 June 2017 Common Test NSC QUESTION 2 2.1. 2.1.1 2.1.2 2.1.3 2.1.4 (A) (B) (C) (D) 2.1.5. A Shady, owner of Shady Stores, is not registered for VAT. However, he charges VAT to all his customers and he does not pay the VAT over to SARS. Comment on his practice and state what consequences he could be faced with if he is reported to SARS. (8) Comment: Consequences: 22 Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Accounting (Grade 10) Question 3 5 NSC June 2017 Common Test 3.1. Calculate the Capital balance at the end 2017 (7) Balance at the beginning of the year Add: Net profit as per profit and loss account Less: Drawings Balance at the end of the year 3.2, GENERAL LEDGER OF PONGOLA TRADERS ON 29 FEBRUARY 2017 TRADING ACCOUNT 3.3. PROFIT AND LOSS ACCOUNT. Copyright Reserved 79 Please Turn Over

Downloaded from hlayiso.com Accounting (Grade 10) 6 June 2017 Common Test NSC QUESTION 4 4.1.1 A 4.1.2 4.1.2. Consider the information provided on 30 June 201. Identify ONE problem per taxi. Quote figures to support your opinion. Give ONE point of advice ineach case. _(9) Problem with figures Advice NTU 1111 Lekota NTU 1583 Mandla NTU 1754 Mageza 27 Copyright Reserved TOTAL MARKS: 200

com ISO. Downloaded from hlay ———— —— —— 4OAQ WIN esea|q Pesuesay JyBuddo> 4 48AQ WN) aseajg “soBed g Jo s}sisuos ouljopinB Buppeus slut “euyepin6 Buppew eip puokeq seanewsye plea apiroad ‘OUM SO}EPIPUED JO aeMe og “TOYEP 30}S Se Yon — 30 + 04 WED swWEY eLUOS Ing ‘oWSUL Jed + 40 "= “+ 04 JEN SuBaU LOREIadO YOOH49 Z2ION “4281109 Hed 8u0 ® uoHeIdo, suesw 39809 Wed aUO, “uONEIedo yosyD, sueEWI LOReLedC) spew ouy Bupreme aiojeq 198.109 eq JsnW Led uO }SEOj Je PUE Jemsuz 84} 30 Sssua|qeuoses: sty JosdSul ysnu! JeyseLU Oly ‘uoReedo JO) pepreMe aie Sse poujaw esoyyy, “engebeu leuy & eq OUUeD UoRSONb alg 40 uoHOSS JEUN J0y SEU a4) ‘poydde o1e senleued alcuyA “sejepipues wou, ‘SHomsue 40 sopyenb Buveyp ueergeq aequUasewp Oo} papreme oq Aew Speuied “paIespul assy yy, “sanisod s} ounBy uy yeep euinsse ‘pepiaoud S| 1949219 10 UBIS — 40 + OU sf WEL oy} BME 0} POIOp|SUOD ‘eunBy Aue Jo SAne63U 40 ennsod ey} ‘payeoipul esinueigo solu 72 BAOGE LUBOUOO 0} payEjas aq ISN :edIApy | PHEME 0} Pero! 'q snl eanBy Aue Jo yooys ean “t mene unos seu poutou! oun tou) emney Jeu} 40) Bupjiom ou 40} peured oly exesoye ‘eunby Jeuy e Se UMOYS SI aINBL waunsnipe-cid e 4 ‘Poprnoid supyiom ely YEU "YeLOOU! JMSUE J} JE*ASUE 19909 104 SEU |IN “pus you Aed Jeyeq 10) skepung uo Bupyom pue ewnenc Bupyom esnge Aew sioyiony “paydde Ayeued o1qnop on “(wey paoejdsjuu 10} Ayeusd ou) We} JEU} 10} Uogsenb i Su ul cloumesje SyeWw Bulsoj Jou s) aepipues euy 41 AjUO perdde o1e su‘oy UBIGIO} J; seMjeuog || “sunoy Bupyiom jeuuou Suyinp Bupjom asjuedns pue Joyuow Agog AA UONEUEIEXS PIIEA SUQ :LL@9UOD *SAIdIONRd OND! (s) “S91Ape JO JujOd SNO ealb pul Sopejes oF spaeBel yim aaey nok pjnom . U99U09 JEUM “SSeuIsng eu Jo JoypNe JeueyUl Ue se payuiodde ueaq SAeY NOY “TLL 002 :Swuvl (sp) —Seiiad AzZ2 € 78EL /ovE | 708¢ ~ Spawned eje4nyS ACL Ee SEL AvvEL 70SZ Z SISUqIN equieYL Weel € 7871 fvpe lb 70SZ ~ Zexeria Ainyy din puny Pung piy uojsueg | jeolpaw feIOL ‘SUOHNGIIUOD sakojdwiy pate ALVOISILYAD YOINSS vee ol |m6zos [TA ly9e [7 ezr 7 096 7 006 SPsuind B}aNYS y fees 2) [Azst9 |*6oL¢ | ezr 7 096 7 006 S}euqW equiey | TWNOILYN Asesé |wzees [Aree [> ezb 7 096 7 006 izeyeny Any ‘ bund | puny pry (ii. ee ee ee ee Aueyes e304 | BAWd ain uolsusd | jeaIpew Pa ay 38N suoponpeq seAojduu: 7 “ : £toz 3Nar : a " JNFAAGIND ONDA " u a. Oss oF Z*0GLE 77 008 ZL apewny ejaynys . a 056 81 72 0Sb9 77008 Eh UGA Equieyy * SONLLNNODSV 2 002 St SA 00r Z + 008 ZL eyena Ang) eee) ere} yunowy yunouiy qunowy reyes ssols SWIHOAQ. Asejeg oiseq sekojdwiz 4102 ANN Of NO SUAGVUL INS THNV IHN JO WN&NOr SAV IVS WNYNOSL SAIRIVIVS “LE 1 NOLLSSND OSN 3S9, UOWWOD 210% eunp z (0} epeig) Bugunosoy fio4d oF SarevKy

vm al Downloaded from hlayiso.com Accounting (Grade 10) 3 June 2017 Common Test NSC ANALYSIS OF TRANSACTIONS AND EFFECTS IN THE ACCOUNTING EQAUTION % General Ledger AMOUNT. A] O | LC | Account DR ‘Account CR Wages v Creditors for wagesv” 57 850v | 0 wv lw Wages ¥ Pension Fundy 11800" |_ 0 wo Wages v SARS(PAYE) ¥ 29850v| 0 [| ~ | Pension Fund Contributiony_| Pension Fund 17 700vv|_ 0 ~~ ' faa 72 Copyright Reserved Please Tum Over June 2017 Common Tést Accounting (Grade 10) 4 NSC QUESTION 2 24. 2.44 Value Added Tax vv (2) 2A2 14% vv (2) 2.1.3 - 0% or Zero vv (2) 2414 (A)— PAYE vv. (B) - Salaries or Wages vv (C) — Ail Individuals or Businesses v (D) ~ Indirect vv (8) state what consequences he could b ‘Comment: One valid explanation V4 faced with if he is repo This practice is unethical since his business is not a registered vendor. ‘Comments for two marks Unethical / illegal Consequences: One valid explanation VV Shady and his business may face charges for fraud by SARS. Consequences for two marks Arrested/ charged/ jailed 2.1.5. A Shady, owner of Shady Stores, is not registered for VAT. However, he charges VAT to all his customers and he does not pay the VAT over to SARS. Comment on his practice and rted to SARS. @) Copyright Reserved Please Tum Over

Panlesay Ty6uAdoD 002 -SMYVIN IVLOL 40A0 WIN} BSB9Id Pansessy 1uBusdog, Zt 62 x4 62 UOISSILULOD JO LIO} B Ul] SIBAUID Aeg poyeaey} ezabey WW seicsicpc 7 _ 21047 0} 1 AID pure sizo ay} demg U{000 rE Aluo Jeaup Aze| sl ezad_ey | yS2b MLN 08Z 60r @8Z 60r A28T 072 Ee € /Aunoane jeude 8 que\s|sse SJoAUp jUIoddy | Joyo ueLy $807 -peyseo 000 epzu uses eaeh nun aan ) Sera Ky LIP qui =A 871 OT) aouesnsuy o I8SO} J8AUp otf JoUOW / esiuedng | Buljesys si e[pueyy JeAuip yeLy Auyqissog ost € Cove Scr 7000 SZ+/005 £07) n UEO| UO 3S2sEIUT — A0rS ‘Sables yueg eS e}0407, 11000 €€ spew Sap OE S (~ P0072 = ezeBew 0} y eai6 pue sues ayy demg 001 SnyeA BurKses pjo 00} apiysn Pre ALN oe 2090) woneomiosg a 9)91YaA. meu Ang OL‘ YW 3s09 Bujuury YBIYy 7000 & C0SZ + /082 2) FeBY 7000 @T ‘SWOOUT UOISSRUWIOS i SOP as C005 oe 1 7 Seinby * We|qold Jaoso € as (-009 ce = ie) SsolApy sounBy Ym welqoig apres Ca ia “@SBD YOES Uf Sd1Ape Jo JUIOd ANO SAID “UOUdo anoA ylOddnS 0} SainBy ajony A0Le - a * penlsda! juncosig ia 1x2} Jed walqoid ANO Ajuepl “Loz eunr O¢ Uo peplAcid UoNeULIOJU! BUR EPISUCD “Z"L"y sis Pemolle Junodsiq Lv AOOE eT ysodsp PSX UO JsareqUT 7098 & C-S9b+ G6 +) we chy AQounpeya pue sae ASB LT C008 TH FEE ST POESZ : C008 Pazenoded SIqep pea =70L2-/00b 8) Arauoners 5 oer y 7uD000 OL 7 000 SEEM] a 008 9E C7000 €-7000 OF) 1u8u TASZE Z O06 T7576) . sagap pea vy — TASZS 0€€ Ease Aiunos5e Super] a [A006 77 Raa 82| Ged A +4000 $8) £t02 } 70L'7 YX AUDI000 FE afem pue saueles a -ANNODDV SSOT GNV 1T0ud ‘E — iets _ & | i000 oz 7OL'9 U7 7000 elu 826 729 S76 £9 = a TASLs OE PSSOT ue IWOIg O [mooo satu 7000 ZL U = 7000 OSE H [i826 629 00h 2-728 F002 629) 8.) DIOSE bE +7000 2-708 SPE) 8Z| EF D 9 Z S21 £30: 7 $225 $0 350), £302 ANNOD3¥ ONIGVEL ce ER vs 410% ANVNYEAA 6% NO SHAGVYL VIODNOd JO YANG WuSNAD 700'bY— 7000 SZ 4 a ZLL8 189 Jeokeyy JO pus aly jye souejeg 000 soz u aise rat) 00547589 2) SBumeig “sey junosse sso| pue Wold Jad se yoid aN -ppy 7001 0 28 H+ 7000 EZL Vv AGL Sey Jeak ayy 10 Bujuujbaq eu} ye Souejeg a [) Z10Z PUS SU} Je soURje [eydeD OY} a}EIND[eD “LE v NOLLSAND 380.L uounog J L0z euny OSN € NOLLSSND Log eunr 9 {0} epeig) Sugunosoy ye uowoD 24.9z aun o s (0) epeip) Buguncsoy

Downloaded from hlayiso.com APE