3. Financial accounting (A Level)
A section of Accounting, 9706
Listing 10 of 734 questions
Alana owns and manages a shop with three separate departments selling food, clothing and toys. The following trial balance is available for the year ended 30 April 2012. $ 000 $ 000 Inventory at 1 May 2011: Food Clothing Toys Purchases and sales Food Clothing Toys Sales staff wages Advertising Heat and light Insurance Fixtures and fittings at cost Provision for depreciation, fixtures and fittings Property Trade receivables Bank Trade payables Capital Additional information: Inventory at 30 April 2012: $ Food 17 000 Clothing 12 000 Toys 43 000 The shop has 2 floors with the food department on the ground floor and both the clothing and toys departments taking up equal floor space on the floor above. At 30 April 2012:  an invoice for advertising amounting to $2000 remained unpaid;  $6000 had been paid in advance for heating and lighting. Expenses are apportioned between departments as follows: Apportioned on the basis of sales income:  sales staff wages; advertising. Apportioned on the basis of floor area:  heat and light; insurance; depreciation. Straight line depreciation is charged on fixtures and fittings at 10% per annum. For Examiner's Use REQUIRED Prepare, in columnar format, a departmental income statement for the year ended 30 April 2012. Food Dept Clothing Dept Toys Dept $000 $000 $000 $000 $000 $000 For Examiner's Use Explain how the preparation of a departmental income statement might assist Alana in managing the business. Alana’s accountant values some inventory at cost of purchase and some at net realisable value. Explain these terms to Alana: cost of purchase net realisable value.
9706_s12_qp_21
THEORY
2012
Paper 2, Variant 1
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The Klassik Music Society produced the following receipts and payments summary for the year ended 31 March 2013. Receipts $ Subscriptions 30 000 Sales of food and drink 50 000 Bank loan 30 000 Income from concerts 116 800 Sale of surplus equipment 30 000 Payments Balance, 1 April 2012 12 000 Purchase of new equipment 10 000 Hire of hall for concerts 27 000 Printing 14 000 Equipment maintenance and repairs 8 000 Purchases of food and drink 23 000 Salaries 45 000 Cost of concerts 83 500 Sundry expenses Sponsorship 1 000 Balance, 31 March 2013 ? Additional information: 31 March 2012 31 March 2013 $ $ Salaries in arrears 2 800 1 600 Subscriptions owing 1 600 2 600 Subscriptions prepaid 1 000 Printing accrued 2 600 2 800 Equipment (cost $200 000), at NBV 160 000 ? Food and drink inventory 15 400 13 200 The bank loan was received on 1 July 2012. Interest is charged at 12% per annum. No interest had been paid by the year end. The equipment sold was purchased on 1 June 2011 and had a NBV of $32 000. Depreciation is provided at 20% on cost for equipment in use at the year end. For Examiner's Use REQUIRED Prepare the trading section of the income statement for the year ended 31 March 2013. Calculate the gross profit percentage, to one decimal place, made on sales of food and drink. The prices of food and drink sold had been planned to obtain a gross margin of 70%. Compare this figure with the figure calculated in and state two reasons why these figures may differ. For Examiner's Use Prepare the income and expenditure account of the Klassik Music Society for the year ended 31 March 2013. For Examiner's Use Prepare the statement of financial position of the Klassik Music Society at 31 March 2013.
9706_s13_qp_21
THEORY
2013
Paper 2, Variant 1
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Questions Discovered
734