Serengeti Transporters Ltd acquired two cars under Hire purchase agreements, the details of which are as follows: Registration Number CYS 855 CYZ 655 Date of purchase 30/06/2018 31/01/2019 Cash price 2,900,000 3,660,000 Deposit 500,000 660,000 Hire purchase interest 600,000 840,000 Both agreements provided for payment to be made in 24 equal monthly installments commencing on the last day of the month following purchase. Interest is deemed to accrue evenly over the period of the agreement. On 1st August 2019, vehicle CYS 855 was involved in accident. The total loss was claimed and the insurance company made full settlement on 10th August 2019 by paying TZS 2,200,000 under a comprehensive policy. The hire purchase company accepted TZS 1,200,000 for termination of the agreement. The company paid all the installments as per the agreements. The firm prepares its accounts annually to 31st December and provides for depreciation on a straight-line basis at a rate of 20 per cent on motor vehicles, with a full year’s depreciation in the year of purchase. No depreciation is charged in the year of disposal. Use the information provided to prepare the Motor vehicles, Provision for Depreciation on Motor Vehicles and Hire Purchase Interest Suspense Accounts.

1. Prepare the Motor vehicles account. (5 mk)
2. Prepare the Provision for Depreciation on Motor Vehicles account. (5 mk)
3. Prepare the Hire Purchase Interest Suspense account. (5 mk)
4. Calculate the profit or loss on disposal of vehicle CYS 855. (5 mk)

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Aortal and Veins Ltd deliver its product in returnable containers. The company buys the containers for TZS 800 each, a container is charged out to customers at TZS 1,000 and the customer is allowed TZS 600 per container if the container is returned in good condition. The stock of containers is valued at TZS 400 per container at stock taking. On 1st January 2023, the stock of containers in the warehouse was 8,000 and 16,000 in the hands of customers. During the year to 31st December 2023, 12,000 new containers were purchased, 26,000 were sent to customers and 19,000 were returned by the customers in good condition. The 200 containers were destroyed and 100 others were beyond repair; they were sold for TZS 16,000. The 14,000 containers were in the hands of customers on 31st December, 2023. Use the information provided to prepare the Containers Stock, Container Trading Accounts and Containers Statement of Profit or Loss for the year ending 31st December 2023

1. Prepare the Containers Stock account. (7 mk)
2. Prepare the Container Trading Account. (7 mk)
3. Prepare the Containers Statement of Profit or Loss. (6 mk)

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Telecom Plc is a public company in the telecommunication industry. The following is its statement of financial position as on 31st March 2023: Telecom Plc Statement of Financial Position as on 31st March 2023 Details TZS Assets Non-current assets 5,000,000 Investments 2,000,000 Bank balance 500,000 Total Assets 7,500,000 Liabilities (11%) Preference shares of TZS 1,000 each fully paid 3,000,000 Equity shares of TZS 100 each fully paid 2,000,000 General reserve 1,000,000 Income statement balance 1,300,000 Accounts payable 200,000 Total Equity and Liabilities 7,500,000 The directors of Telecom Plc decided to redeem the preference shares at a premium of (10%) subject to the following conditions: (a) To sell investments for TZS 1,900,000. (b) A minimum balance of TZS 200,000 in the bank account shall be required to meet the working capital requirements. (c) To issue sufficient equity shares at a premium of TZS 25 per share. Using the information provided, prepare Journal entries to record the transactions, Ledger accounts duly balanced and the Statement of Financial Position after redemption of the preference shares.

1. Journal entries to record the transactions. (10 mk)
2. Ledger accounts duly balanced. (10 mk)
3. Statement of Financial Position after redemption of the preference shares. (5 mk)

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Use the information provided to prepare the Memorandum Profit or Loss Adjustment Account, Partners’ Capital Accounts in columnar form and the Statement of Financial Position of the new firm.

1. Prepare the Memorandum Profit or Loss Adjustment Account. (5 mk)
2. Prepare Partners’ Capital Accounts in columnar form. (10 mk)
3. Prepare the Statement of Financial Position of the new firm. (5 mk)

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Using the information provided, prepare the Salary Slips for each employee for the month ending 31st December 2020.

1. Prepare the Salary Slip for Wilien. (5 mk)
2. Prepare the Salary Slip for Xulfer. (5 mk)
3. Prepare the Salary Slip for Yana. (5 mk)
4. Prepare the Salary Slip for Zibwe. (5 mk)

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