ACCOUNTING P2 GR12 ANSWER BOOK SEPT2022 English_hlayiso.com_.pdf

Downloaded from hlayiso.com Name: NATIONAL SENIOR CERTIFICATE GRADE 12 SEPTEMBER 2022 ACCOUNTING P2 ANSWER BOOK MARKS MODERATED QUESTION MAX. MARKS OBTAINED MARKS 1 35 2 35 3 40 4 40 150 These marking guidelines consist of 9 pages.

Downloaded from hlayiso.com 2 ACCOUNTING P2 (EC/SEPTEMBER 2022) QUESTION 1 1.1 INVENTORY VALUATION 1.1.1 Calculate the following on 30 April 2022: Value of closing stock WORKINGS ANSWER 5 Cost of sales WORKINGS ANSWER 6 1.1.2 Deb is concerned about sales and profitability Calculate the average stock holding period (in days). WORKINGS ANSWER 5 Based on your findings, comment on whether she should be concerned or not. 2 Copyright reserved Please turn over

Downloaded from hlayiso.com (EC/SEPTEMBER 2022) ACCOUNTING P2 3 1.1.3 Deb wants to change to the weighted average method to value the electric fans as she feels that this will improve profitability. Comment on this proposal. Provide TWO points. 4 1.2 VAT 1.2.1 Calculate the amount payable to SARS in respect of VAT for the two- month VAT period ended 30 June 2022. 9 1.2.2 As a senior manager, what would you say to Brenda regarding this transaction? Provide TWO points. 4 TOTAL MARKS 35 Copyright reserved Please turn over

Downloaded from hlayiso.com 4 ACCOUNTING P2 (EC/SEPTEMBER 2022) QUESTION 2 2.1 2.1.1 2.1.2 2.1.3 3 2.2.1 Update the CRJ and CPJ totals in the table provided, and calculate the correct Bank balance in the General Ledger on 31 July 2022. CASH RECEIPTS JOURNAL CASH PAYMENTS JOURNAL 116 400 132 500 Bank Balance: 9 2.2.2 BANK RECONCILIATION STATEMENT ON 31 JULY 2022 8 Copyright reserved Please turn over

Downloaded from hlayiso.com (EC/SEPTEMBER 2022) ACCOUNTING P2 5 2.2.3 Refer to the outstanding deposit of R22 500 dated 20 July 2022. Explain why the accountant should be concerned about this deposit. Provide ONE point. 2 2.3 MOLLY’S DELI 2.3.1 CREDITORS LEDGER ACCOUNT OF GLADYS SUPPLIERS Incorrect balance on 1 August 2022 41 800 A B C D E Balance after errors and omissions 9 2.3.2 Molly was disappointed that she did not benefit from the discount. How can Molly improve the internal control process to ensure that this does not happen in the future? Provide TWO points. 4 TOTAL MARKS 35 Copyright reserved Please turn over

Downloaded from hlayiso.com 6 ACCOUNTING P2 (EC/SEPTEMBER 2022) QUESTION 3 3.1 3.1.1 3.1.2 3.1.3 3.1.4 4 3.2.1 Calculate: DIRECT LABOUR COST 8 3.2.2 FACTORY OVERHEAD COST NOTE Provisional total 203 720 9 3.2.3 PRODUCTION COST STATEMENT ON 28 FEBRUARY 2022 PRIME COST 812 500 Total manufacturing cost Work-in-progress (opening balance) 18 750 Work-in-progress (closing balance) Cost of production of finished goods 9 Copyright reserved Please turn over

Downloaded from hlayiso.com (EC/SEPTEMBER 2022) ACCOUNTING P2 7 3.3 UNIT COSTS AND BREAK-EVEN 3.3.1 Comment on the control over direct material cost per unit and selling and distribution cost per unit. Quote figures. In each case, provide a possible reason for the change. COST DECISION with figures Direct material cost Selling and distribution cost 6 3.3.2 Explain whether Cage (the owner) should be satisfied with the level of production and the break-even point. Provide TWO points. Quote figures. 4 TOTAL MARKS 40 Copyright reserved Please turn over

Downloaded from hlayiso.com 8 ACCOUNTING P2 (EC/SEPTEMBER 2022) QUESTION 4 4.1 Explain why: 4.1.1 Bad debts will not appear in a cash budget. 1 4.1.2 A cash budget is an effective internal control mechanism. 2 4.2.1 DEBTORS COLLECTION SCHEDULE Month Credit sales AUGUST SEPTEMBER JUNE 360 000 64 800 JULY 364 000 109 200 AUGUST 382 200 183 456 SEPTEMBER 354 900 RECEIPTS FROM DEBTORS 357 456 7 4.2.2 Calculate: WORKINGS ANSWER (i) Rent income: August (ii) Payment to creditors: September (iii) Repayment of loan: September (iv) Ordinary share dividends: September 13 Copyright reserved Please turn over

Downloaded from hlayiso.com (EC/SEPTEMBER 2022) ACCOUNTING P2 9 4.2.3 Calculate: % increase in salaries and wages. WORKINGS ANSWER 3 4.2.4 Provide TWO reasons why the company decides to invest in staff training. 2 4.2.5 Comment on the new approach regarding cash and credit sales. 2 Explain TWO disadvantages of the approach adopted. 4 Comment on actual and budgeted figures for the following items: ADVERTISING 3 PACKING MATERIAL 3 TOTAL MARKS 40 TOTAL: 150 Copyright reserved Please turn over