Accounting Grade 11 P1 Eastern Cape November 2024 Addendum

Name: NATIONAL SENIOR CERTIFICATE GRADE 11 NOVEMBER 2024 ACCOUNTING P1 ANSWER BOOK MAX. MARKS MODERATED MARKS QUESTION MARKS OBTAINED School District 1 25 2 50 3 40 4 35 150 This answer book consists of 7 pages. *IACABE1* Hosted by www.ecexams.co.za.

2 ACCOUNTING P1 (ANSWER BOOK) (EC/NOVEMBER 2024) QUESTION 1 1.1 FIXED ASSETS (i) Calculate: Cost of land and buildings at the beginning of the year. WORKINGS ANSWER 2 (ii) Calculate: Carrying value of equipment at the beginning of the year. WORKINGS ANSWER 1 (iii) Calculate: Depreciation on equipment. WORKINGS ANSWER 4 (iv) Calculate: Carrying value of vehicle disposed. WORKINGS ANSWER 5 1.2 Asset Disposal 7 Copyright reserved Please turn over Hosted by www.ecexams.co.za.

(EC/NOVEMBER 2024) ACCOUNTING P1 (ANSWER BOOK) 3 1.3 Calculate the percentage increase in the value of Land and Buildings if their market value as at 29 February 2024 amounts to R5 500 000. 4 1.4 The owner notices that the mileage on one of the vehicles is extremely high. He therefore concluded that the driver is misusing the vehicle. Suggest TWO internal control measures that can be implemented to safeguard the business against misuse of vehicles. POINT 1 POINT 2 2 TOTAL MARKS 25 Copyright reserved Please turn over Hosted by www.ecexams.co.za.

4 ACCOUNTING P1 (ANSWER BOOK) (EC/NOVEMBER 2024) QUESTION 2 2.1 CONCEPTS 2.1.1 2.1.2 2.1.3 2.1.4 2.1.5 5 2.2 Statement of Comprehensive Income for the year ended 30 June 2024 Sales (1 696 080 Cost of sales (998 000 Gross profit Other income Bad debts recovered 640 Gross operating income Operating expenses Discount allowed 1 200 Sundry expenses 34 000 Operating profit 375 490 Profit before interest expense Net profit for the year 45 TOTAL MARKS 50 Copyright reserved Please turn over Hosted by www.ecexams.co.za.

(EC/NOVEMBER 2024) ACCOUNTING P1 (ANSWER BOOK) 5 QUESTION 3 3.1 TINY-TONY TRADERS 3.1.1 TRADE AND OTHER RECEIVABLES NOTE Trade debtors (85 800 5 3.1.2 STATEMENT OF FINANCIAL POSITION ON 30 SEPTEMBER 2024 EQUITY AND LIABILITIES SECTION OWNERS EQUITY NON-CURRENT LIABILITIES CURRENT LIABILITIES Trade and other payables (79 500 TOTAL EQUITY AND LIABILITIES 17 3.2 BECO TRADERS CURRENT ACCOUNTS BEN COLLIN Partner’s salaries Bonus 15 300 Interest on capital Secondary distribution 23 980 Drawings Retained earnings Balance at the beginning 29 000 Balance at the end 18 TOTAL MARKS 40 Copyright reserved Please turn over Hosted by www.ecexams.co.za.

6 ACCOUNTING P1 (ANSWER BOOK) (EC/NOVEMBER 2024) QUESTION 4 4.1 Calculate the following financial indicators for the financial year ended 29 February 2024: 4.1.1 % Operating expenses on turnover WORKINGS ANSWER 3 4.1.2 Acid-test ratio WORKINGS ANSWER 4 4.1.3 % Return on average equity earned by partners WORKINGS ANSWER 5 4.2 Explain whether the business is managing its operating activities efficiently. Quote TWO financial indicators with figures. FINANCIAL INDICATOR EXPLANATION (WITH FIGURES) 4 Explain how the business can improve their sales in future. Quote ONE financial indicator. FINANCIAL INDICATOR EXPLANATION (WITH FIGURES) 2 Copyright reserved Please turn over Hosted by www.ecexams.co.za.

(EC/NOVEMBER 2024) ACCOUNTING P1 (ANSWER BOOK) 7 4.3 The partners decided to increase their business activities in 2024 and agreed to take up a loan. Explain how their decision affected the financial risk of the business. Quote ONE financial indicator with figures. FINANCIAL INDICATOR EXPLANATION (WITH FIGURES) (COMMENT ON RISKS) 4 Provide TWO suggestions that the partners can consider instead of increasing the loan. SUGGESTION 1 SUGGESTION 2 2 4.4 Should the partners be satisfied with the % return on their investments? Explain and provide TWO points with relevant figures. POINT 1 POINT 2 5 4.5 Comment on the liquidity position of the business for 2024. Quote TWO financial indicators with comparative figures. INDICATOR 1 INDICATOR 2 COMMENT ON LIQUIDITY 6 TOTAL MARKS 35 TOTAL: 150 Copyright reserved Please turn over Hosted by www.ecexams.co.za.

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