# Accounting Grade 12 Paper 2 NSC June 2021 Memo (English) > Grade 12 Accounting Paper 2 memorandum from the NSC June Exam 2021 (English), 9 pages. Read online or download the free PDF. - Page: https://www.hlayiso.com/library/accounting-p2-may-june-2021-mg-eng/4ddd80e1-0dca-4ba8-a6ac-20e7bc69a493 - Updated: 2026-10-29 - Subject: Accounting - Grade: Grade 12 - Document type: Memorandum - Year: 2021 - Exam period: NSC June Exam - Paper: 2 - Curriculum: CAPS - Pages: 9 Breadcrumbs: [Home](https://www.hlayiso.com/) › [Library](https://www.hlayiso.com/library) › [Grade 12](https://www.hlayiso.com/library/grade-12) › [Accounting](https://www.hlayiso.com/library/grade-12/accounting) › [Accounting Grade 12 Paper 2 NSC June 2021 Memo (English)](https://www.hlayiso.com/library/accounting-p2-may-june-2021-mg-eng/4ddd80e1-0dca-4ba8-a6ac-20e7bc69a493) ## About this document Accounting · Grade 12 · NSC June Exam · 2021. Memorandum. Read online or download the PDF. Read it free online on the page above; download the PDF from there. ## Document text Text extracted from the PDF. Layout, diagrams and tables may not survive extraction. ### Page 1 Downloaded from hlayiso.com SENIOR CERTIFICATE EXAMINATIONS/ NATIONAL SENIOR CERTIFICATE EXAMINATIONS ACCOUNTING P2 MARKING GUIDELINES 2021 MARKS: 150 MARKING PRINCIPLES: 1. Unless otherwise stated in the marking guidelines, penalties for foreign items are applied only if the candidate is not losing marks elsewhere in the question for that item (no penalty for misplaced item). No double penalty applied. 2. Penalties for placement or poor presentation (e.g. details) are applied only if the candidate is earning marks on the figures for that item. 3. Full marks for correct answer. If answer incorrect, mark the workings provided. 4. If a pre-adjustment figure is shown as a final figure, allocate the part-mark for the working for that figure (not the method mark for the answer). Note: if figures are stipulated in memo for components of workings, these do not carry the method mark for final answer as well. 5. Unless otherwise indicated, the positive or negative effect of any figure must be considered to award the mark. If no + or – sign or bracket is provided, assume that the figure is positive. 6. Where indicated, part-marks may be awarded to differentiate between differing qualities of answers from candidates. 7. This memorandum is not for public distribution, as certain items might imply incorrect treatment. The adjustments made are due to nuances in certain questions. 8. Where penalties are applied, the marks for that section of the question cannot be a final negative. 9. Where method marks are awarded for operation, the marker must inspect the reasonableness of the answer. 10. Operation means 'check operation'. 'One part correct' means operation and one part correct. Note: check operation must be +, -, x, ÷, or per memo. 11. In calculations, do not award marks for workings if numerator & denominator are swapped – this also applies to ratios. 12. In awarding method marks, ensure that candidates do not get full marks for any item that is incorrect at least in part. Indicate with a . 13. Be aware of candidates who provide valid alternatives beyond the marking guideline. Note that one comment could contain different aspects. 14. Codes: f = foreign item; p = placement/presentation. These marking guidelines consist of 9 pages. Copyright reserved Please turn over ### Page 2 Downloaded from hlayiso.com Accounting/P2 2 DBE/2021 SC/NSC – Marking Guidelines QUESTION 1 1.1 VALUE-ADDED TAX (VAT) 1.1.1 Explain why the government implemented VAT in South Africa. State ONE point. Any ONE valid explanation  part mark for unclear/incomplete/partial answers  Additional source of revenue for the government / on a more regular basis.  To fund infrastructure / provision of public goods and services;  To provide for basic/essential services for the communities;  Finance public debts; maintain the large state owned enterprises.  It is an indirect tax that is paid by all – easy and quick way to generate extra funds 2 Explain why some products are zero-rated products. State ONE point. Any suitable explanation  part mark for unclear/incomplete/partial answers  To make basic necessities affordable to indigent / poor communities / help them to live better (provide food) / they are cheaper (by the amount of VAT)  Zero-rates items are regarded as essential items – consumed by all; should be accessible to all. 2 1.1.2 Calculate the amount payable to SARS in respect of VAT for the two months ended 30 April 2021. one part correct         9 450 + 61 800 – 34 500 – 1 890 – 2 520 + 1 140 + 1 380 = 34 860 OR – 9 450 – 61 800 + 34 500 + 1 890 + 2 520 – 1 140 – 1 380 = – 34 860 OR ignore sign on final answer 9 450 Output VAT: 61 800 + 1 140 + 1 380 = 64 320 = 73 770 Input VAT: 34 500 + 1 890 + 2 520 = 38 910 Diff: 34 860 OR VAT CONTROL* Mark only ONE option 34 500 9 450 Choose the option that benefits the candidate 1 890 61 800 * Amounts may be on opposite sides (mirror) 2 520 1 140 * Underlined amounts may be in brackets, on the 34 860 1 380 opposite side 73 770 73 770 11 Copyright reserved Please turn over ### Page 3 Downloaded from hlayiso.com Accounting/P2 3 DBE/2021 SC/NSC – Marking Guidelines 1.2.1 CREDITORS' RECONCILIATION Foreign entries – 1 per line max -3 if mark is scored on that line If no sign, assume +ve; Accept brackets for negative amounts; not DR or CR # mark correct answers in each column, even if not in correct line Creditors' Ledger Statement Account of PN Suppliers of Account from in the books of Khaya Stores PN Suppliers Balance 101 000 85 380 (10 800 – 18 800) – 8 000 (i)  Must be both for two marks – 600 one mark – 600 one mark (ii) – 1 200  (iii) + 1 140  (iv) – 6 100  (11 800 – 12 980) – 1 180 (v)  Must be both for two marks (vi) – 2 660  (vii) + 7 700  88 040 88 040 * 12 *Inspect / for both totals one part correct/must include opening balance check for reasonableness on final answer / one correct total used 1.2.2 State TWO benefits of using electronic funds transfers (EFTs) for payments to creditors. Any TWO points   accept short, incomplete statements, one-word answers if message is clear Fast (no queues) cheaper (lower charges) reduces theft Convenient can operate outside business hours Easy to use in the comfort of the business or home safe (security risks) instant feedback (notifications/ proof of payment) 2 The internal auditor feels that this incident of fraud should never have occurred in this business. Explain why he feels this way. ONE valid point  part mark for unclear/incomplete/partial answers  The accountant, generally regarded as a senior employee in the business is expected to be responsible, professional and trustworthy / work independently.  This was a deliberate action (nepotism) to defraud the business; which is not expected from an employee of his professional standing (loyal / ethical)  The management should be aware of the potential for fraud of this nature and have internal control measures in place to prevent this / his competence may be questioned / he could be charged or sued for fraud or negligence.  Preventative controls should have been in place to ensure employees are not tempted / consequences for defaulters should be in their contracts 2 Explain how this could have been prevented. State TWO points. Any TWO points   part mark for unclear/incomplete/partial answers  Could have appointed two people to authorise each EFT payment / division of duties - one person serves as a check on another /  Screen suppliers properly to ensure that they are reliable/credible organisations / ensure that they actually exist.  Do character checks on newly appointed employees as a reference for ethical conduct from their previous employers  Bank notifications (sms) / OTP to the owner or a supervisor for all bank transactions;  Regular / random supervision or checking of accounting records / journals / documents 4 TOTAL MARKS 35 Copyright reserved Please turn over ### Page 4 Downloaded from hlayiso.com Accounting/P2 4 DBE/2021 SC/NSC – Marking Guidelines QUESTION 2 2.1 2.1.1 E selling and distribution 2.1.2 A factory overheads 2.1.3 B administration 3 Only ONE correct answer ; accept cost category or recognisable abbreviation 2.2 MEISIES OUTFITTERS 2.2.1 FACTORY OVERHEAD COST NOTE Factory rent 122 400 x 320/1280 30 600  Water and electricity 81 600 x 15% 12 240  Insurance 20 720 x 12/14 x 1/3 5 920 * 17 760 Indirect labour / wages to cleaners 155 760  x 90/590  OR 26 400 x 90% or – 2 640 23 760 * one mark one mark Salary of dressmaking supervisor 76 960 Depreciation on machines 30 300 Sundry factory expenses 10 670 TOTAL 190 450 * 10 *operation, one part correct -1 foreign item (e.g. delivery expenses) 2.2.2 Calculate the total cost of production of school dresses produced. WORKINGS ANSWER    see 2.2.1 475 600 + 535 450 + 190 450 1 201 500  one part correct 4 2.2.3 Minnie is concerned about wastage of fabric in the dressmaking section. Calculate the cost of this wastage to the business. WORKINGS ANSWER 520 three marks (29 000 – 28 480) x R16,40  OR 29 000 x 16,40 17 800 x 1,6m x 16,40 475 600 – 467 072 two marks two marks OR R8 528  one part correct 520 three marks (18 125 – 17 800) two marks (325 x 1,6m) x R16,40 two marks one mark one mark 5 Copyright reserved Please turn over ### Page 5 Downloaded from hlayiso.com Accounting/P2 5 DBE/2021 SC/NSC – Marking Guidelines 2.2.4 The internal auditor expressed concern about the direct labour cost for the school dresses. Explain the problem that is of concern to the auditor. Quote figures. Explanation  figures (showing a comparison)  (5 x 8 x 46)  Normal hours worked is less than expected by 590 (1 840 – 1 250) / 32%.  Overtime hours is high; 36,5% of total production time worked (720/1 970)  Overtime pay is R9 200 more than the normal time pay (259 200 – 250 000) / exceeds normal time pay by R9 200. 3 State TWO possible causes of this problem. Any TWO reasons   accept short, incomplete statements if message is clear  Interruptions due to load-shedding/lockdown (Covid -19 related) /strikes  Fluctuating periods of high and low demand (opening of schools/each term)  Poor supervision during normal time / deliberate wasting of time.  Authorizing overtime / exploiting overtime (due to higher overtime rate) 2 2.2.5 Provide a calculation to confirm that the break-even point for the current financial year is 17 000 units. WORKINGS ANSWER Mark numerator and denominator as such 229 500  17 000 units 75,00  – 61,50  Amount given 13,50 two marks 3 2.2.6 Comment on the level of production achieved and the break-even point calculated above. Quote figures. Comment (must compare production to BEP)  figures   The business produced 800 units more than the BEP (17 800 – 17 000) / the business is making a profit on 800 units.  Low profitability (on only 800 units) considering the wastage of material and time lost in production. 2 2.2.7 Calculate the extra profit that would be earned if an additional 500 dresses are made and sold. Assume that all costs are unchanged. WORKINGS ANSWER 17 500 x 13,50 OR 236 250 – 229 500 500  x R13,50  (18 300 x 13,50) (17 800 x 13,50) R6 750  (75,00 – 61,50) one mark OR 247 050 – 240 300 (500 x 75) (500 x 61,50) OR 37 500 – 30 750 one mark one mark on each line 3 TOTAL MARKS 35 Copyright reserved Please turn over ### Page 6 Downloaded from hlayiso.com Accounting/P2 6 DBE/2021 SC/NSC – Marking Guidelines QUESTION 3 3.1 PROJECTED INCOME CASH BUDGET FOR JULY NO. STATEMENT FOR JULY RECEIPT PAYMENT INCOME EXPENSE e.g. 4 200 4 200 3.1.1 6 000  4 000  3.1.2 300  45 000  300 * see receipt 23 200  3.1.3 23 200  #accept net amount: 16 000  R7 200 two marks 8 -1 per line for foreign entries (mark scored for an amount elsewhere on a line, or additional superfluous entries above max marks per line ) 3.2 ANOKHI (PTY) LTD 3.2.1 CREDITORS' PAYMENT SCHEDULE CREDIT MAY 2021 JUNE 2021 JULY 2021 PURCHASES March 2021 164 500 16 450 April 2021 170 800 85 400 17 080 May 2021 171 500 65 170 85 750 17 150  June 2021 178 500 67 830 89 250  *if x 40% x 95% July 2021 182 000  four marks if answer is correct 69 160  Payment to creditors 167 020 170 660 175 560  one part correct 9 Ignore foreign entries, penalise on final answer # mark correct amounts in July column, even if not on the appropriate lines 3.2.2 Calculate: WORKINGS ANSWER (a) Rent income in July 2021 2 15 500 x 1,09 or 15 500 + 1 395 16 895  (b) Amount of the loan 4 37 800 two marks 280 000  3 150  x 12  Loan amount x 13,5% x 1/12 = 3 150 one part correct (3 150 x 12) / 0,135 OR 13,5/100  or 13,5% (3 150 x 12 x 100) / 13,5 mark numerator & denominator as such (c) Salaries of sales assistants 6 (41 000 x 3/5 x 0,75) two marks (8 200 x 3 x 75%) two marks (8 200 x 50%) two marks 63 550  41 000  + 18 450  + 4 100  one part correct OR 24 600 x 175% 8 200 x 2 8 200 x 50% 43 050 + 16 400 + 4 100 two marks one mark two marks (d) Directors' fees 4 96 000  720 000/12 (38 880 x 100/108) two marks one part correct 60 000  + 36 000  16 Copyright reserved Please turn over ### Page 7 Downloaded from hlayiso.com Accounting/P2 7 DBE/2021 SC/NSC – Marking Guidelines 3.2.3 Comment on the effectiveness of the advertising. Quote figures. Comment on control (actual vs budgeted; may be implied in response) effect on sales  figure  Although the same amount (Nil change / R0 / R35 280) as budgeted was used, actual sales was less than budgeted by 20% or by R176 400 or R882 000 – R705 600; advertising was therefore not effective. 3 Comment on the control over delivery expenses. Quote figures. Comment on control (actual vs budgeted; may be implied in response) effect on sales  figure   Delivery expenses is lower than budgeted by R6 130 (R57 330 – R51 200) or by 10,7%, while sales were less than expected by 20% or by R176 400 (R882 000 – R705 600); delivery expenses therefore not well controlled.  Budgeted for 6,5% of sales – actual was 7,3% of sales (0,8% higher); delivery expenses therefore not well controlled. 3 3.2.4 State TWO benefits of this decision. TWO valid points   accept short, incomplete statements if message is clear  The business will own an asset (increase in value of assets)  Deliveries can be made at the convenience of the business / is under the control of the business.  Possible savings / more economical (saves on the mark-up which would apply to a supplier) / cutting out the middleman.  Can be used to generate other income by outsourcing the vehicle 2 Apart from the items reflected in the Budget (Information F), list FOUR other items that Kayla should include in the budget. Any FOUR items:     be alert to other valid alternative answers related to the vehicle Possible responses Do not accept any non-cash items, e.g. Depreciation Insurance Repairs Delivery fee income Petrol and fuel Instalment payments and interest Additional driver Vehicle licence Toll charges Security for vehicle (garage) Maintenance Accommodation for driver (working late) 4 TOTAL MARKS 45 Copyright reserved Please turn over ### Page 8 Downloaded from hlayiso.com Accounting/P2 8 DBE/2021 SC/NSC – Marking Guidelines QUESTION 4 Accept recognisable abbreviations / only ONE correct answer 4.1 4.1.1 First-in-first-out (FIFO)  4.1.2 Periodic  4.1.3 Weighted average (WAM)  4.1.4 Perpetual  4 4.2.1 Calculate: Value of the closing stock WORKINGS ANSWER (3 700/20 = 185) 320 - 20 380 – 300 or units in first part (300  x 185 ) + (80  x 173 ) 55 500 two marks 13 840 two marks 69 340  (59 200 – 3 700) two marks one part correct (300 x 170) (300 x 15) (80 x 160) (80 x 13) OR 51 000 + 4 500 + 12 800 + 1 040 one mark each 5 Calculate: Cost of sales WORKINGS ANSWER 336 870 three marks (83 500 + 129 750 + 59 200) one mark (68 120+ 272 450 – 3 700) – 69 340 267 530     see CS above one part correct (670 x 173) OR 68 120 + 83 500 + 115 910 one mark one mark two marks 5 4.2.2 Calculate the average stockholding period (in days). WORKINGS ANSWER OR using units 93,8 days 68 730 three marks see CS above one part correct ½  (68 120  + 69 340 ) x 365 ½ (420 + 380) If x 365 267 530  see COS above 400 x 365 OR 1 590 Allocate marks accordingly 91,8 days 5 Explain whether Gwen should be satisfied with this figure, or not. State TWO points. NOTE: The average stock holding period on 29 February 2020 was 52 days. Any TWO points   part mark for unclear/incomplete/partial answers Figures not required by question; mark according to candidate’s calculation above. “NOT SATISFIED” OPTIONS  The stockholding period has increased (from 52 days to 93,8 days see above) / Stock is not moving as fast has she expects.  Possibility of bags becoming out-dated / out of fashion / obsolete  Occupying storage space / idle stock is a risk of theft  Too much working capital / cash tied up in stock / she will have to reduce prices to reduce stock “SATISFIED” OPTIONS  Bags are durable and can be sold in the future / possibly taken advantage of bulk discounts / increased profitability in the future (inflation)  State of the economy (luxury goods) drop in demand was expected. 4 Copyright reserved Please turn over ### Page 9 Downloaded from hlayiso.com Accounting/P2 9 DBE/2021 SC/NSC – Marking Guidelines 4.3 PROBLEM-SOLVING Mark relevant problem or figures if in wrong columns / award for appropriate advice, even if problem is unclear / incorrect # be alert to additional correct options / figures PROBLEM FOR 2021 ADVICE (with figures) Per problem identified   TWO valid problems   Mark advice independently Different problems required with figures    Too much stock on hand (615  Increase advertising; units) Increased by 208 units  Consider discounts (from 407 to 615)  Reduce mark-up%  Drop in stock turnover rate  Order according to sales / 1,9 to 0,9 / high stock orders received balance results in stock not moving / higher mark-up % also contributes to this  Reduce mark-up % to JACKETS  Price too high (MU% increase sales increased from 50% to 75% / a  Have clearance sales 25% increase / price increase  Regular stock-take to of R90 per unit (R630–R540) assess available stock  Purchasing the same number  Replace stock according to of units (800) despite having units sold (base stock) excess stock; contributing to  Security tags on products stock piling.  Physical inspection or regular stock count  Stock items missing or stolen  Install cameras (42 units or 407 +800 – 550 –  Sell online (if customers are 615) the problem) TWO valid problems   ADVICE with figures   Per problem identified    Decrease in units sold:  Increase advertising 290 (2 260 – 1 970) or  Keep selling price the same 302 (2 182 – 1 880) to increase sales OR drop in sales from  Division of duties 436 400 – 399 500 / by 36 900 /  Encourage use of EFTs 8,5% OR by 86 900 (436 400 –  Request sms for deposits 349 500 if missing cash not detected)  Reconcile deposits with JERSEYS items sold / sales deposits  Cash missing or stolen  Online sales / sell on credit R50 000 (399 500 – 349 500) – less cash handling Or 69 125 (if returns not included)  Daily depositing / routine  Effect stricter return policy  High returns from  Improve quality to reduce customers; 78 (3,5% of sale) returns / do not buy inferior to 90 (4,6% of sales) (cheaper) products  change styles of jerseys / in fashion  Train personnel to give best advice to customers. 12 TOTAL MARKS 35 TOTAL: 150 Copyright reserved ## Related documents - [Accounting P2 May-June 2025 MG Afr](https://www.hlayiso.com/library/accounting-p2-may-june-2025-mg-afr/62bf3c7c-f1bc-4bd9-878f-67ec5a7a2c38) — Accounting · Memo · 2025 · Afr - [Accounting P2 Nov 2020 Afr](https://www.hlayiso.com/library/accounting-p2-nov-2020-afr/11a416d1-5a4d-43f5-8e86-04e631d2a55d) — Accounting · QP · 2021 · Afr - [Accounting P2 QP Nov 2020 Eng D](https://www.hlayiso.com/library/accounting-p2-qp-nov-2020-eng-d/7a7e912d-274c-4600-8f33-8c3e779b6f8e) — Accounting · QP · 2021 · Eng - [Accounting P2 Nov 2020 ANSBK Eng D REV](https://www.hlayiso.com/library/accounting-p2-nov-2020-ansbk-eng-d-rev/863967ff-8393-4d36-ac90-75cbdfc8ad7e) — Accounting · QP · 2021 · Eng - [Accounting P2 Nov 2020 ANSBK isiXhosa ENG D](https://www.hlayiso.com/library/accounting-p2-nov-2020-ansbk-isixhosa-eng-d/4ed6f6c2-dccd-41ab-a7d8-edaae97c4697) — Accounting · QP · 2021 · isiXhosa - [Accounting P2 Nov 2020 QP Sesotho ENG D](https://www.hlayiso.com/library/accounting-p2-nov-2020-qp-sesotho-eng-d/b8211dab-ac4c-47a0-a24b-ef1b3c8c13a9) — Accounting · QP · 2021 · Sesotho ## More from Grade 12 Accounting - [Accounting](https://www.hlayiso.com/library/accounting/8f42a6a4-9593-4d36-86b1-d890dd1bb1bf) — Guide - [ACCOUNTING P1 GR12 AB JCT ENG D watermark](https://www.hlayiso.com/library/accounting-p1-gr12-ab-jct-eng-d-watermark/77ae8297-53f7-47b3-8e29-57bd38f30483) — Addendum · 2025 · Eng - [ACCOUNTING P1 GR12 QP JCT 2025 AFR D watermark](https://www.hlayiso.com/library/accounting-p1-gr12-qp-jct-2025-afr-d-watermark/c6a5692b-3cb0-464b-bb82-67d6ce83bfdd) — QP · 2025 · Afr - [ACCOUNTING P1 GR12 QP JCT 2025 ENG D watermark](https://www.hlayiso.com/library/accounting-p1-gr12-qp-jct-2025-eng-d-watermark/84d92eb0-f5bd-4442-bb6d-c55cdc52e25d) — QP · 2025 · Eng - [ACCOUNTING P2 QP GR12 JCT 2025 ENG D watermark](https://www.hlayiso.com/library/accounting-p2-qp-gr12-jct-2025-eng-d-watermark/13425f71-aba6-4328-b084-d9b108884315) — QP · 2025 · Eng - [Accounting P1 (English) June 2025 Answer Book](https://www.hlayiso.com/library/accounting-p1-english-june-2025-answer-book/7e96e433-56f8-43a1-9a38-c68c465746dd) — Addendum · 2025 · Eng ## Collection - [Grade 12 past papers](https://www.hlayiso.com/grade-12/past-papers) --- Hlayiso: free CAPS and IEB past papers, memos, notes and study guides for South African learners. 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