# Accounting Grade 11 P1 Eastern Cape November 2023 QP (Eng) > Grade 11 Accounting Paper 1 question paper from the Eastern Cape November Exam 2023 (English), 12 pages. Read online or download the free PDF. - Page: https://www.hlayiso.com/library/accounting-p1-gr11-qp-nov-2023-english/4a9ed09a-c470-41c0-8d03-0f4bd2f3f6c6 - Updated: 2026-09-27 - Subject: Accounting - Grade: Grade 11 - Language: English - Document type: Question paper - Year: 2023 - Exam period: Eastern Cape November Exam - Paper: 1 - Curriculum: CAPS - Pages: 12 Breadcrumbs: [Home](https://www.hlayiso.com/) › [Library](https://www.hlayiso.com/library) › [Grade 11](https://www.hlayiso.com/library/grade-11) › [Accounting](https://www.hlayiso.com/library/grade-11/accounting) › [Accounting Grade 11 P1 Eastern Cape November 2023 QP (Eng)](https://www.hlayiso.com/library/accounting-p1-gr11-qp-nov-2023-english/4a9ed09a-c470-41c0-8d03-0f4bd2f3f6c6) ## About this document Accounting · Grade 11 · Eastern Cape November Exam · 2023 · English. Question paper, 12 pages. Read online or download the PDF. Read it free online on the page above; download the PDF from there. ## Matching paper and memo - [ACCOUNTING P1 GR11 MEMO NOVEMBER 2023 English watermark](https://www.hlayiso.com/library/accounting-p1-gr11-memo-november-2023-english-watermark-1/49899c38-504c-42fb-972e-2181fa910731) — Memo · 2023 · Eng ## Document text Text extracted from the PDF. Layout, diagrams and tables may not survive extraction. ### Page 1 Downloaded from hlayiso.com NATIONAL SENIOR CERTIFICATE GRADE 11 NOVEMBER 2023 ACCOUNTING P1 MARKS: 150 TIME: 2 hours This question paper consists of 12 pages, including a formula sheet and an 8-page answer book. ### Page 2 Downloaded from hlayiso.com 2 ACCOUNTING P1 (EC/NOVEMBER 2023) INSTRUCTIONS AND INFORMATION Read the following instructions carefully and follow them precisely. 1. Answer ALL the questions. 2. A special ANSWER BOOK is provided in which to answer ALL questions. 3. A Financial Indicator Formula Sheet is attached at the end of this question paper. 4. Show ALL workings to earn part-marks. 5. You may use a non-programmable calculator. 6. You may use a dark pencil or blue/black ink to answer questions. 7. Where applicable, show ALL calculations to ONE decimal point. 8. Write neatly and legibly. 9. Use the information in the table below as a guide when answering the question paper. Try NOT to deviate from it. TIME QUESTION TOPIC MARKS (minutes) Accounting equation and fixed asset 1 20 15 note Statement of Comprehensive 2 45 40 Income Statement of Financial Position and 3 50 40 Notes to Financial Statements Financial Indicators and 4 Interpretation of Financial 35 25 Statements TOTAL 150 120 Copyright reserved Please turn over ### Page 3 Downloaded from hlayiso.com (EC/NOVEMBER 2023) ACCOUNTING P1 3 LEAVE THIS PAGE BLANK . Copyright reserved Please turn over ### Page 4 Downloaded from hlayiso.com 4 ACCOUNTING P1 (EC/NOVEMBER 2023) QUESTION 1: ACCOUNTING EQUATION AND FIXED ASSET NOTE (20 marks; 15 minutes) 1.1 ACCOUNTING EQUATION REQUIRED: Complete the table provided to indicate the effect on the accounting equation for the transactions listed below. Follow the example provided. (8) NOTE: Assume that the bank balance is unfavourable and the perpetual inventory system is in use for all transactions. Example: Purchase trading stock on credit. 1.1.1 The account of a debtor who could not be traced, must be written off as irrecoverable. 1.1.2 Charged interest on the overdue account of a debtor. 1.1.3 A partner, M Stick, took stationery from the office for his own use. 1.1.4 The credit balance of a debtor must be transferred to his account in the creditors’ ledger. Copyright reserved Please turn over ### Page 5 Downloaded from hlayiso.com (EC/NOVEMBER 2023) ACCOUNTING P1 5 1.2 FIXED (TANGIBLE) ASSETS The information relates to SANDI BROTHERS for the financial year ended 28 February 2023. REQUIRED: Calculate the missing figures indicated by (i) to (iii) on the Fixed Asset Note. (12) INFORMATION: A. Note to the Statement of Financial Position: FIXED ASSETS BUILDINGS VEHICLES EQUIPMENT Carrying value (1 March 2022) 1 190 000 360 000 Cost (i) 1 950 000 970 000 Accumulated depreciation 0 (760 000) (610 000) Movements Additions 500 000 0 270 000 Disposals 0 (ii) 0 Depreciation 0 (270 000) (iii) Carrying value (28 Feb. 2023) Cost 6 150 000 Accumulated depreciation B. Additional Information • Depreciation is calculated as follows: Equipment – 10% p.a. on carrying value. Vehicles – 15% p.a. on cost. • During the financial year, extensions to the buildings were completed. • An old vehicle, cost price R300 000, was sold at carrying value on 31 August 2022. The accumulated depreciation on this vehicle was R240 000 on 1 March 2022. • New equipment was purchased on 1 November 2022. 20 Copyright reserved Please turn over ### Page 6 Downloaded from hlayiso.com 6 ACCOUNTING P1 (EC/NOVEMBER 2023) QUESTION 2: STATEMENT OF COMPREHENSIVE INCOME (45 marks; 40 minutes) 2.1 Choose a GAAP principle from COLUMN B that matches the description in COLUMN A. Write only the letter (A–E) next to the question numbers (2.1.1 to 2.1.4) in the ANSWER BOOK. COLUMN A COLUMN B 2.1.1 Income and expenses must be recorded in A Materiality the current financial year 2.1.2 Affairs of the owner of a business must be B Business entity kept separate from the records of the business 2.1.3 Financial information relevant to a reader C Matching of financial statements must be disclosed separately 2.1.4 The assumption that the business will D Prudence continue in future E Going concern (4 x 1) (4) 2.2 GOVEA TRADERS The information relates to the financial year ended 28 February 2023. REQUIRED: Complete the Statement of Comprehensive Income for the year ended 28 February 2023. (41) NOTE: Some amounts have been entered in the ANSWER BOOK. Copyright reserved Please turn over ### Page 7 Downloaded from hlayiso.com (EC/NOVEMBER 2023) ACCOUNTING P1 7 INFORMATION: A. Extract from the Pre-Adjustment Trial Balance on 28 February 2023 Capital: Govner 595 750 Capital: Veaner 595 750 Trading stock 242 650 Debtors control 168 250 Provision for bad debts 10 150 Creditors control 225 600 Sales 5 701 320 Cost of Sales 3 563 350 Rent Income 82 100 Consumable Stores 41 450 Interest on Fixed Deposit 53 250 Interest on overdue account of debtors 4 250 Interest on loan ? Insurance 43 150 Salaries and Wages (including employer’s contribution) 896 250 Bad debts 8 990 Bad debts recovered 1 890 B. The following adjustments were not taken into account by the bookkeeper: (i) Damaged goods with a cost price of R3 500, were sold at a mark-up of 50% on cost. (ii) Stock to the value of R17 400 was stolen during a break-in on 15 February 2023. The insurance company agreed to pay 80% of the stock-value in March 2023. (iii) Stock count on 28 February 2023 revealed the following on hand: • Trading stock, R214 500 • Consumable stores used during the financial year, R35 350. (iv) A debtor whose account was written off as irrecoverable paid the amount of R810. This was incorrectly credited to the bad debts account. (v) The provision for bad debts must be decreased to R 8 150. (vi) Insurance includes a premium of R4 950 for the period 1 January 2023 to 30 June 2023. (vii) Rent income include the rent for March 2023. NOTE: Rent increased by R250 on 1 October 2022. (viii) An employee was omitted from the salaries journal in error. The details of his salary are as follows: Net salary Total deductions Contributions R24 500 30% of gross salary R3 850 (ix) Sundry expenses is the balancing figure. 45 Copyright reserved Please turn over ### Page 8 Downloaded from hlayiso.com 8 ACCOUNTING P1 (EC/NOVEMBER 2023) QUESTION 3: STATEMENT OF FINANCIAL POSITION AND NOTES TO FINANCIAL STATEMENTS (50 marks; 40 minutes) Partners H. Hockey and T. Tennis are owners of the business Ball Sport Traders. You are provided with information for the financial year ended 28 February 2023. REQUIRED: 3.1 Calculate the Interest on Capital of Partner Hockey. (4) 3.2 Complete the Current Account note on 28 February 2023. (17) 3.3 Complete the Statement of Financial Position on 28 February 2023. (29) NOTE: Some amounts have been entered in the ANSWER BOOK. INFORMATION: A. Extract from the records on 28 February 2023 Capital: Hockey R 1 680 000 Capital: Tennis 1 120 000 Current account: Hockey Dr) 32 670 Current account: Tennis (Cr) 58 030 Drawings: Hockey 623 150 Drawings: Tennis 563 250 Mortgage loan ? SARS (PAYE) 75 330 Fixed assets at carrying value ? Fixed deposit: Gold Bank 582 000 Inventory 286 400 Debtors control 204 600 Provision for bad debts 10 230 Bank (Cr) 101 500 Cash float 20 200 Pension fund 75 330 Prepaid expenses 62 420 Accrued expenses 32 700 Creditors control 763 860 Profit and Loss 1 490 120 Copyright reserved Please turn over ### Page 9 Downloaded from hlayiso.com (EC/NOVEMBER 2023) ACCOUNTING P1 9 B. The partnership agreement makes provision for the following: (i) Partners received an annual salary of R480 000. However, the workload of T. Tennis was reduced from 1 January 2023 and therefore his salary was reduced by R15 000 p.m. from that date. (ii) Partner Hockey is entitled to a bonus of 80% of his monthly salary. (iii) Interest on capital must be calculated at 12% p.a. Note that Partner Hockey increased his capital contribution with R200 000 on 1 September 2022. This transaction was recorded during the year. (iv) The remaining profit / loss must be shared equally between the partners. C. Drawings: Partner Hockey took trading stock for his own use. The cost price of these goods was R3 500 but was recorded as R5 300. This must be corrected. D. Additional Information: (i) 20% of the fixed deposit matures on 30 June 2023. (ii) The loan statement received on 28 February 2023 reflected the following: Opening balance at the beginning of the year R 710 500 Interest capitalised during the year 78 200 Repayments, including interest, during the year 178 900 Closing balance at the end of the year ? The business plans to pay off 15% of the loan balance over the next financial year. E. Fixed assets at carrying value is the balancing figure. 50 Copyright reserved Please turn over ### Page 10 Downloaded from hlayiso.com 10 ACCOUNTING P1 (EC/NOVEMBER 2023) QUESTION 4: FINANCIAL INDICATORS AND INTERPRETATION OF FINANCIAL STATEMENTS (35 marks; 25 minutes) You are provided with the information of Yoyo Partners for the financial year ended 28 February 2023. REQUIRED: 4.1 Calculate the following financial indictors on 28 February 2023: • % Operating expenses on sales (2) • Acid-test ratio (4) • Debt-equity ratio (3) • % Return on average partners (owners’) equity (5) NOTE: Provide figures, trends, financial indicators or calculations in EACH case to support your comments and explanations. 4.2 Explain whether the business is managing its expenses effectively. Identify TWO financial indicators (with figures) to support your explanation. (6) 4.3 Partner Yozo is concerned about the liquidity position. Explain whether he is justified or not. Quote TWO financial indicators, with figures. (6) 4.4 The partners have increased the monthly instalments on the loan. Explain the effect of this on the financial risk of the business. Quote ONE financial indicator with figures to support your explanation. (4) 4.5 Explain whether the partners should be happy with the % return earned by their investment in this partnership. Quote ONE financial indicator, with figures. (5) Copyright reserved Please turn over ### Page 11 Downloaded from hlayiso.com (EC/NOVEMBER 2023) ACCOUNTING P1 11 INFORMATION: A. Extract from the Statement of Comprehensive Income for the year ended 28 February: 2023 2022 Sales 3 380 400 2 670 000 Gross profit 1 352 160 1 201 500 Operating expenses 845 100 774 300 Net profit for the year 591 570 347 100 B. Extract from the Statement of Financial Position on 28 February: 2023 2022 Current Assets 557 800 656 480 Inventory (trading stock only) 231 800 350 600 Trade and other receivables 183 400 142 600 Cash and cash equivalents 142 600 163 280 Partners Equity 2 176 210 1 945 920 Capital: Yoza 1 520 000 1 100 000 Capital: Yoga 600 000 800 000 Current account: Yoza 36 010 20 000 Current account: Yoga 20 200 25 920 Loan: Komani bank 1 300 200 1 500 000 Current liabilities 278 900 410 300 C. Financial indicators calculated on 28 February: 2023 2022 % gross profit on sales 40% 45% % operating expense on sales ? 29% % Net profit on sales 17,5% 13% Current ratio 2:1 1,6 : 1 Acid-test ratio ? 0,7 : 1 Debtors’ collection period 29 days 36 days Debt-equity Ratio ? 0,7 : 1 % Return on partners’ (owners’) equity ? 17,8% D. Additional Information: Interest on loan 11% 11% Interest on fixed deposit 8% 8% 35 TOTAL: 150 Copyright reserved Please turn over ### Page 12 Downloaded from hlayiso.com 12 ACCOUNTING P1 (EC/NOVEMBER 2023) GRADE 11 ACCOUNTING FINANCIAL INDICATOR FORMULA SHEET Gross profit 100 Gross profit 100 Net profit 100 x x x Sales 1 Cost of sales 1 Sales 1 Operating expenses 100 Operating profit 100 x x Sales 1 Sales 1 Total earnings by partner 100 Net profit 100 x x Partner’s average equity 1 Average owners’ equity 1 Current assets : Current liabilities (Current assets – Inventories) : Current liabilities (Trade and other receivables + Cash and cash equivalents) : Current liabilities Average debtors 365 Average creditors 365 x x Credit sales 1 Credit purchases 1 Average inventories 365 12 Cost of sales x or Average inventories Cost of sales 1 1 Non-current liabilities : Owners’ equity Total assets : Total liabilities Copyright reserved Please turn over ## Related documents - [ACCOUNTING P2 GR11 QP NOV2023 English](https://www.hlayiso.com/library/accounting-p2-gr11-qp-nov2023-english/f476ab04-a9d8-48f8-8d61-d147a95b251f) — Accounting · QP · 2023 · Eng - [Grade 11 ACC P1 (English) June 2023 Answerbook](https://www.hlayiso.com/library/grade-11-acc-p1-english-june-2023-answerbook-1/888a682a-0a7a-4301-8989-c137240cf50d) — Accounting · Addendum · 2023 · Eng - [Gr 11 Accounting P1 (English) November 2022 Question Paper](https://www.hlayiso.com/library/gr-11-accounting-p1-english-november-2022-question-paper/ef4637d3-96a9-43e3-b8e8-b76b492e87f0) — Accounting · QP · 2022 · Eng - [ACCOUNTING P1 GR11 QP NOVEMBER 2020 English .docx](https://www.hlayiso.com/library/accounting-p1-gr11-qp-november-2020-english-docx/36f73aae-b2be-494f-b290-718a2c8f5958) — Accounting · QP · 2020 · Eng - [Gr11 Acc P1 (English) November 2019 Question Paper](https://www.hlayiso.com/library/gr11-acc-p1-english-november-2019-question-paper/bdf935ed-5668-4b8b-be13-5e4ebedf77ee) — Accounting · QP · 2019 · Eng - [Grade 11 ACC P2 (English) June 2023 Answerbook](https://www.hlayiso.com/library/grade-11-acc-p2-english-june-2023-answerbook-1/c240ab3d-7672-41d9-832e-83884ae4b9d9) — Accounting · Addendum · 2023 · Eng ## More from Grade 11 Accounting - [GR11 Accounting Practice exam November Paper 1](https://www.hlayiso.com/library/gr11-accounting-practice-exam-november-paper-1/a786fffb-f00d-472f-a62b-80f038063c5b) — Guide - [ACCOUNTING P2 MEMO GR11 NOV 2025 ENG watermark](https://www.hlayiso.com/library/accounting-p2-memo-gr11-nov-2025-eng-watermark/7aa479bf-34d0-4240-934b-67a2f33e2597) — Memo · 2025 · Eng - [ACCOUNTING P2 MEMO GR11 NOV 2025 AFR watermark](https://www.hlayiso.com/library/accounting-p2-memo-gr11-nov-2025-afr-watermark/a92dc10a-0d2e-42d6-9cd3-ff78b0e78afe) — Memo · 2025 · Afr - [LP Accounting Grade 11 March 2025 QP and Memo](https://www.hlayiso.com/library/lp-accounting-grade-11-march-2025-qp-and-memo/e029a6c5-e494-4ee4-85f6-bf55d1d8442b) — QP + Memo · 2025 - [ACCOUNTING P2 MEMO GR11 NOV 2024 ENG watermark](https://www.hlayiso.com/library/accounting-p2-memo-gr11-nov-2024-eng-watermark/c09eb350-5d2d-4070-8df4-25ece70dc7de) — Memo · 2024 · Eng - [Grade 11 ACC P2 (English) June 2023 Possible Answers](https://www.hlayiso.com/library/grade-11-acc-p2-english-june-2023-possible-answers/fa85abfa-9f3e-4e3a-ba88-499b2e0673a6) — Memo · 2023 · Eng ## Collection - [Grade 11 past papers](https://www.hlayiso.com/grade-11/past-papers) --- Hlayiso: free CAPS and IEB past papers, memos, notes and study guides for South African learners. 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