Accounting Grade 10 North West June 2019 Memo

Downloaded from hlayiso.com PROVINCIAL ASSESSMENT GRADE 10 ACCOUNTING JUNE 2019 11 MARKING GUIDELINES MARCH 2015 MARKS: 200 TIME: 2 hours Demo NW/JUNE/ACCNG/ EMIS/6*******

Downloaded from hlayiso.com 2 GRADE 10 ACCOUNTING JUNE EXAMINATION – 2019 QUESTION 1 1.1.1 C  1.1 1.1.2 D  1.1.3 B  1.1.4 E  1.1.5 A  5 1.2 GENERAL LEDGER ACCOUNT NO. ASSET EQUITY LIABILITY DEBIT CREDIT Eg. Bank Capital + 120 000 +120 000 1.2.1 Bank  Rent Income  + 4 680  + 4 680  +220 000 1.2.2 Bank  Loan  +220 000   Consumable 1.2.3 Pettycash  - 210  - 210  Stores  1.2.4 Debtors Control  Bank  ± 760  Creditors 1.2.5 Stationery  - 2 180  + 2 180  Control  20 1.3.1 (a) 57 280  x 100/160  = 35 800  One part correct (b) 96 500  – (57 280 + 15 000)  = 24 220  One part correct (c) 42 400 + 3 400 + 28 900 + 18 500 = 93 200  One part correct (d) 14 200  x 160%  = 22 720  One part correct 12 Demo NW/JUNE/ACCNG/ EMIS/6*******

Downloaded from hlayiso.com 3 GRADE 10 ACCOUNTING JUNE EXAMINATION – 2019 1.3.2 GENERAL LEDGER OF TRUMP STORE BANK 2017 2017 Total payments / 93 200  1 Balance b/d 23 500  31 CRJ July July Sundry acc. See 1.3.1( c) Total receipts/ 31 DJ 96 500  Balance c/d 26 800 Sundry acc.  120 000 120 000 Aug 1 Balance b/d 26 800  8 DEBTORS CONTROL 24 220  2017 2017 1 Balance b/d 35 380  31 *Bank  CRJ See July July 1.3.1 (b) 22 720  *Discount 31 Sales  DJ See CRJ 3 220  Allowed  1.3.1(dc) Debtors Journal debits GJ 3 000  DAJ 3 100  Allowances  Journal credits GJ 1 200  Balance c/d 32 360  64 100 61 100 Aug 1 Balance b/d 32 360  * Can combine it 13 COST OF SALES 2017 2017 1 Balance b/d 56 120  31 Trading Stock  DAJ 1 120 July July 35 800  31 Trading Stock  CRJ See 1.3.1(a) Trading Stock  DJ 14 200  7 Demo NW/JUNE/ACCNG/ EMIS/6*******

Downloaded from hlayiso.com 4 GRADE 10 ACCOUNTING JUNE EXAMINATION – 2019 QUESTION 2 2.1.1 TWO advantages of credit sales Any TWO advantages   It increases sales Allows the business to charge more for offering this service More customers as they can purchase anytime during the month Can stock a wider range of goods / stock turnover should improve 4 2.1.2 TWO vital information to be checked before allowing credit. Any TWO check points   Employment history / income earned per month / credit references / Banking details 4 2.1.3 How can the business ensure that debtors pay their accounts in time? TWO points. Any TWO valid points   Give discounts for early payments Charge interest when accounts are overdue Send regular statements and/or reminders / sms Provide other incentives such as gift vouchers / specials 4 2.2 FRANK THULO (DL6) 2.2.1 Folio - 7th : DAJ3  Folio - 21st : GJ3  2.2.2 Detail for the 10th : Receipt  3 2.2.3 Amount owed by Thulo on 1 September 2017: 17 490  – 4 380  = 13 110  One part correct 3 2.2.4 Percentage discount granted when R4 500 was received. 225  /4 500  x 100  = 5%  One part correct 4 Demo NW/JUNE/ACCNG/ EMIS/6*******

Downloaded from hlayiso.com 5 GRADE 10 ACCOUNTING JUNE EXAMINATION – 2019 2.2.5 Comment on the entry for interest. Any valid comment  Must include that it is recorded on the wrong side  Interest is charged when the account is not managed properly. Payments are not received on time It is a way of ensuring that debtors pay their accounts on time. It should be debited as it increases the amount that the debtor owes. 3 Calculate the final balance 16 000  + 50  = 16 050  One part correct 3 2.3 MARANG SUPPLIERS (CL8) DATE DETAILS FOL DEBIT CREDIT BALANCE 2018 Account rendered 1 b/d 12 840 MAY (balance) 6 Invoice No XXX  CJ3 6 840  19 680 14 Debit Note No. XXX  CAJ  1 830  17 850 22 Cheque No. 2211 CPJ 7 500 10 350  25 Invoice No XXX  CJ  7 790  18 140 12 Demo NW/JUNE/ACCNG/ EMIS/6*******

Downloaded from hlayiso.com 6 GRADE 10 ACCOUNTING JUNE EXAMINATION – 2019 QUESTION 3 3.1 Calculating wages 3.1.1 Calculate Mona’s net wages for the week Gross wage (40 x R78,50) + (12 x R117,50) 4 550,00 * 3 140  1 410  Deductions (1 433,60) * PAYE 18% x 4 550  819,00 * Pension 8% of 3 140  251,20 * Medical aid 320,00  UIF 1% x 3 140  31,40 * Union fees 12,00  Net wages 3 116,40 * * One part correct 15 3.1.2 Amount due to Medical Aid for the week ending: R320  + (320 x R1,20) = R704  One part correct 384  5 CF PENSION FUND (B12) 2018 2018 31 Bank  CPJ 565,20  28 Wages  WJ 251,20  Oct Oct Pension Fund 28 WJ 314,00  contribution  2 198,00 565,20  8 3.2 Analysing salary information 3.2.1 Calculate Piet’s basic monthly salary in his first year of employment 117 600 /12  = R9 800  One part correct 3 Demo NW/JUNE/ACCNG/ EMIS/6*******

Downloaded from hlayiso.com 7 GRADE 10 ACCOUNTING JUNE EXAMINATION – 2019 3.2.2 Calculate the total Sales amount for October 2017. 4 240  x 100 /4  = 106 000  One part correct 4 3.2.3 Total amount paid by the business with regards to Piet’s employment 11 160 + 4 240  + 6 200  = 21 600  One part correct 5 QUESTION 4 4.1 4.1.1 Drawings  4.1.2 Debtors  4.1.3 Non-current assets  4.1.4 Current liability  4.1.5 Capital  5 4.2 GENERAL JOURNAL OF BEN TRADERS – 28 February 2019 (narrations are not necessary) DETAILS FOL DEBIT CREDIT (i) Telephone  1 820  Accrued expenses  1 820  (ii) Rent Income  7 650  Income received in advance  7 650  99 450/13 (iii) Prepaid expenses  2 160  Insurance  2 160  3 240 x 4/6 (iv) Accrued Income  7 200 Interest on Fixed Deposit  7 200 320 000 x 9% x 1/4 21 Demo NW/JUNE/ACCNG/ EMIS/6*******

Downloaded from hlayiso.com 8 GRADE 10 ACCOUNTING JUNE EXAMINATION – 2019 4.3.1 Three main points to solve the stock problem 1. Check gifts (stock) delivered to the shop – check to invoice 2. Regular stock counts – check to Trading stock account 3. Layout of gifts carefully designed e.g. smaller items near desk, secure valuable gifts 4. Security tags on gifts (stock) 5. – check to sales slip 6.    6 4.3.2 Two main points to solve the petty cash problem 1. Payments from petty cash need to be authorised 2. Petty cash vouchers should be completed and authorised 3. The petty cash box should be locked in the office safe 4. Proof of payments should be kept along with the original authorised voucher 5. Vouchers must be recorded in a Petty Cash Journal daily 6. The owner or manager should inspect vouchers and journal on a weekly basis   4 4.4.1 Why you think it is necessary to have a Code of Ethics? Code of Ethics may include; Essential need to maintain the good name of the business and uphold moral and ethical values currently found in business practice  4.4.2 Outline THREE principles of ethical behaviour that you expect them to adhere to.  Professional behaviour- not doing anything that would reflect poorly on the business.   Confidentiality- not to reveal confidential information about the business or the clients of the business.   Integrity – Setting high standards/ honesty with clients and fellows workers etc.  8 QUESTION 5 5.1 (a) 10 925 – 9 500 = R1 425  (b) 142 800 x 15% = R21 420  (c) 140 676 x 15 /115  = R18 349  One part correct 7 5.2 a B. Lentswe (the local grocer) has set his till to charge VAT on all sales at 15%. Do you agree with this practice? Explain. Yes/No  Any valid explanation  including the ethical aspect  It is unethical to charge VAT on all goods as some goods may be zero rated. The business will be engaging in fraudulent activities as the business is merely an agent of SARS and VAT must be submitted to SARS. 4 Demo NW/JUNE/ACCNG/ EMIS/6*******