Accounting Grade 11 September Test 2019 Paper & Memo

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Accounting (Grade 11) NSC INSTRUCTIONS AND INFORMATION Downloaded from hlayiso.com September 2019 Common Test Read the following instructions and be sure to follow them carefully: 1. This question paper consists of 6 pages. 2, A special ANSWER BOOK consisting of 5 pages is provided in which to answer all the questions. 3. Answer ALL the questions. 4, Workings must be shown in brackets in order to earn part marks. a, Non-programmable calculators may be used. 6. You may use a dark pencil or black / blue pen to answer the questions. ry Marks will be deducted for missing details and foreign entries. 8. Use the information in the table below as a guide when answering the question paper: Question 1: 46 Marks, 28 Minutes The topic of this question is: Content: Inventory Systems e Periodic Inventory System e General Ledger e Internal Control Question 2: 54 Marks, 32 Minutes The topic of this question is: Content: Projected Income Statement e Debtors Collection Schedule e Projected Income Statement Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Accounting (Grade 11) September 2019 Common Test NSC QUESTION 1 (46 Marks, 28 Minutes) INVENTORY SYSTEMS 4.1. Use the information provided below to compiete the following accounts in the General Ledger for the year ended 28 February 2019. Show the entries as it would have been posted from the relevant subsidiary book. 1.1.1 Purchases (14) 1.1.2 Sales (10) 1.1.3. Trading Account (14) 1.2 Zandile Zulu is concerned about the increase of shop-lifting within her business. She _— (8) has heard that businesses that implement the perpetual inventory system find it easier to detect theft. Explain why this is so, as well as how theft can be detected using the perpetual stock system. Information: 28 February | 28 February 2019 2018 Trading Stock 236 800 248 900 Carriage on Purchases 22 400 Cash Purchases for the year 215 500 Credit Purchases for the year 163 600 Cash Sales 296 000 Credit Sales 361 400 sp * stock taken by the owner for 18 500 Goods returned to creditors during the year 10 300 Donation of stock to local children’s home 8 000 Goods returned by debtors 7 600 Copyright Reserved Please Turn Over

Accounting (Grade 11) QUESTION 2 PROJECTED INCOME STATEMENT Downloaded from hlayiso NSC MM Stores is a clothing retailer situated in Bergville. Required: (54 Marks, 32 Minutes) .com September 2019 Common Test 2.1. Explain the difference between a Cash Budget and Projected Income Statement. 2.2 Complete the Debtors Collection Schedule for July and August 2019. 2.3. Complete the missing amounts labelled A to K in the Projected Income Statement for July and August 2019. Show calculations to earn part marks. Information: June 2019 July 2019 | August 2019 Sales 240 000 252 000 A Cost of Sales (150 000) B c Gross Profit 90 000 ? ? Operating Income 13 000 13 200 13 400 Rent Income 8 000 8 000 8 000 Commission Income 5 000 5 200 5 400 Gross Operating Income 103 000 ? a Operating Expenses (56 250) ? 2 Water and Electricity 5 000 5 000 5 000 Bad Debts 4 200 D E Salaries and Wages 31 000 31 000 F Sundry Expenses 6 760 6 760 G Advertising 7 200 H ] Depreciation 2100 2100 J Operating Profit 46 750 F a Interest Income 875 875 K Net Profit for the year AT 625 ? 2 Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Accounting (Grade 11) September 2019 Common Test NSC Additional Information: e Sales are expected to increase by 5% per month. e Credit Sales account for 40% of total sales. e Debtors are expected to settle their accounts as follows: o 50% settle accounts in the month of sale and receive 5% discount. o 45% settle accounts in the month following the sale. o Provision is made for 5% bad debts. e The business applies a 60% mark up on all items sold. e The business currently employs one manager at a gross salary of R15 000 as well as two shop assistants who are paid equally. The business plans to employ a third shop assistant from 1 August 2019 at the same rate as the two current shop assistants. e Sundry expenses are expected to increase by R200 from 1 August 2019. e Advertising costs will remain fixed at 3% of sales. e The current fixed deposit of R210 000 at an interest rate of 5% per annum, will mature on 31 July 2019. R60 000 will be withdrawn to purchase additional equipment on 1 August 2019. e Depreciation will be provided at 20% per annum on cost. The business has equipment valued at R126 000 on 1 June 2019. TOTAL MARKS: 100 Copyright Reserved

education } Department: Education PROVINCE OF KWAZULU-NATAL ACCOUNTING * ANSWER BOOK SEPTEMBER 2019 : COMMON TEST : NATIONAL SENIOR CERTIFICATE { GRADE 11 Name: Grade: 7 r Learners | Moderators Question Topic Mark Mark 1 Inventory Systems 2 Projected Income Statement (Copyright Reserved This answer book consists of 4 pages. Please Turn Over

Downloaded from hlayiso.com Accounting (Grade 11) 2 September 2019 Common Test NSC QUESTION 1 (46 Marks, 28 Minutes) INVENTORY SYSTEMS 1.1.1 Purchases 14 1.1.2 Sales 10 1.1.3 Trading Account 14 Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Accounting (Grade 11) 3 September 2019 Common Test NSC 12 Zandile Zulu is concerned about the increase of shop-lifting within her business. She has heard that businesses that implement the perpetual inventory system find it easier to detect theft. Explain why this is so, as well as how theft can be detected using the perpetual stock system. 8 QUESTION 2 (54 Marks, 32 Minutes) PROJECTED INCOME STATEMENT 2.1 Explain the difference between a Cash Budget and_ Projected Income Statement. Cash Budget Projected Income Statement 4 2.2 Debtors Collection Schedule for June 2019 to August 2019. Credit June July August Sales 2019 2019 2019 May 2019 91 400 41 130 June 2019 96 000 July 2019 August 2019 16 Copyright Reserved Please Turn Over

Accounting (Grade 11) Downloaded from hlayiso NSC .com September 2019 Common Test 2.3 Calculations Answer Copyright Reserved TOTAL MARKS: 34 [100]

Downloaded from hlayiso.com ACCOUNTING MARKING MEMORANDUM SEPTEMBER 2019 COMMON TEST NATIONAL SENIOR CERTIFICATE GRADE 11 GRADE 10 MARKS : 100 TIME : 1 hour Question Topic Marks Minutes 1 Inventory Systems 46 28 2 Projected Income Statement 54 32 100 60 This marking guideline consists of 4 pages. Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Accounting (Grade 11) 2 September 2019 Common Test NSC QUESTION 1 (46 Marks, 28 Minutes) INVENTORY SYSTEMS 1.1.1 Purchases 2019 2019 28 Bank 215 500 28 Drawings 18 500 Feb Feb Creditors Creditors 163 600 10 300 Control Control Donation 8 000 Trading 342 300 Account 379 100  379 100 (14) 1.1.2 Sales 2019 Debtors 2019 28 7 600 28 Bank 296 000 Feb Allowances Feb Trading Debtors 649 800 361 400 Account Control 657 400  657 400 (10) 1.1.3 Trading Account 2018 2019 1 Opening Stock 248 900 28 Sales 649 800 Mar Feb 2019 28 Purchases 342 300 Closing Stock 236 800 Feb Carriage on 22 400 Purchases Profit and Loss 273 000 886 600  886 600 (14) Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Accounting (Grade 11) 3 September 2019 Common Test NSC 1.2 Zandile Zulu is concerned about the increase of shop-lifting within her business. She has heard that businesses that implement the perpetual inventory system find it easier to detect theft. Explain why this is so, as well as how theft can be detected using the perpetual stock system.  In the periodic inventory system, there is not a continuous record of the stock that is on hand at any one time.   It is therefore nearly impossible to check actual stock levels after a stock take with the accounting records to determine if theft has taken place.   The perpetual inventory system keeps an accurate record of stock on hand at all times.   The stock records can therefore be compared to the actual stock take to determine (8) the amount of theft that has occurred. QUESTION 2 (54 Marks, 32 Minutes) PROJECTED INCOME STATEMENT 2.1 Explain the difference between a Cash Budget and Projected Income Statement. Includes the predicted inflows and outflows of cash in order to Cash predict the bank balances during each month of the budget Budget period. Projected Contains all the expected incomes and expenses during the Income budgeted period in order to show the predicted monthly net Statement profit. (4) 2.2 Debtors Collection Schedule fir June to August 2019. Credit June July August Sales 2019 2019 2019 May 2019 91 400 41 130 June 2019 96 000 45 600 43 200  July 2019 (40% of total sales) 100 800 47 880 45 360 August 2019 (2.3Ax40%) 105 840 50 274 86 730 91 080 95 634 (16) Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Accounting (Grade 11) 4 September 2019 Common Test NSC 2.3 Calculations Answer A 252 000  X 105/ 100  264 600 B 252 000 X 100/160  157 500 C 264 600 X 100/160  165 375 D 91 400  X 5%  4 570 E 96 000  X 5% 4 800 31 000 – 15 000 = 16 000 / 2 = 8 000 F 39 000 8 000 x 3 = 24 000 + 15 000 G 6 760 + 200 6 960 H 252 000 X 3%  7 560 I 264 000 X 3% 7 938 126 000 + 60 000 = 186 000 X 1/12 J 3 100 OR 60 000 X 20% X 1/12 = 1 000 + 2 100 210 000 – 60 000 = 150 000 X 5% X 1/12 K 625 OR 875 - 250 (34) TOTAL MARKS: 100 Copyright Reserved Please Turn Over