Book Keeping · Paper 1 · 2017
17 questions 🇹🇿 NECTA3-hour timed simulation · auto-graded · counts toward ranking
Pay & start exam →Section A
In the trial balance the balance on the provision for depreciation account is
The following details relates to Chituhuma Charitable Club: As a newly appointed club treasurer prepare for the club members the following: (i) Statement of Affairs as at 1st January, 2015 (ii) Bar Trading account for year ending 31st December, 2015 (iii) Income and Expenditure account for year ending 31st December, 2015.
| Details | 01.01.2015 | 31.12.2015 |
|---|---|---|
| Premises | 450,000 | 360,000 |
| Club furniture | 67,500 | 60,750 |
| Sports equipment | 45,000 | 57,600 |
| Barman’s outstanding wages | 2,700 | 3,375 |
| Subscriptions outstanding | 4,050 | 3,150 |
| Subscription received in advance | 1,800 | 1,080 |
| Repair to sports equipment, bill due | 5,400 | 3,870 |
| Refreshment stock | 13,500 | 8,775 |
| Insurance prepaid | 720 | 360 |
| Cash in hand | 15,300 | 21,600 |
| Bank overdraft | 25,560 | 24,030 |
| Refreshment creditors | 19,440 | 8,640 |
| Bar debtors | 9,000 | 11,250 |
| Details | Amount | Details | Amount |
|---|---|---|---|
| Cash in hand b/f | 15,300 | Bank balance b/f | 22,560 |
| Subscriptions | 225,000 | Stationery and printing | 77,625 |
| Bar and restaurant receipts | 177,300 | Electricity | 10,395 |
| Bank balance c/f | 24,030 | Wages | 105,660 |
| Insurance | 18,000 | ||
| Sports equipment | 27,000 | ||
| Repair to sports equipment | 33,750 | ||
| Telephone and postage | 7,470 | ||
| Refreshment | 90,000 | ||
| General expenses | 15,750 | ||
| Advertising | 8,820 | ||
| Cash in hand c/f | 21,600 | ||
| 441,630 | 441,630 |
Upgrade to see model answers.
Sinahamu Tena traders bought a motor van on 1st January, 2014 at sh. 1,800,000 estimated to last five years after which it have a scrap value of sh. 300,000. The van was sold on 31st December, 2016 at Tsh. 1,000,000 and the payment made by cheque. From the above information prepare: From the following particulars extracted from the books of a trader, prepare sales ledger and purchases ledger control accounts for the month ended 31st December, 2015.
| Particulars | Sales ledger | Purchases ledger | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Balance on 1st January, 2015: Sh. | cash 356,000 | cash 424,440 | |||||||||
| credit 78,000 | credit 86,000 | ||||||||||
| Transactions during the year: | |||||||||||
| Sales on credit | 9,548,000 | ||||||||||
| Purchases on credit | 8,472,000 | ||||||||||
| Return inwards | 245,000 | ||||||||||
| Returns outwards | 349,000 | ||||||||||
| Cheques received from customers | 7,242,000 | ||||||||||
| Cheques paid to suppliers | 6,940,000 | ||||||||||
| Cash paid to suppliers | 94,000 | ||||||||||
| Cash received from customers | 104,000 | ||||||||||
| Bad debts written-off | 8,000 | ||||||||||
| Discount allowed to customers | 69,000 | ||||||||||
| Discount received from suppliers | 76,000 | ||||||||||
| Credit purchases set off against credit sales | 254,000 | 254,000 | |||||||||
Show all 18 rows
| |||||||||||
Upgrade to see model answers.
At the beginning of accounting year Y. club has Tsh. 14,000 as non-current assets, Tsh. 5,000 as current assets and Tsh. 5,000 liabilities. What would be its opening accumulated fund?
A cheque which is not accepted for payment by the bank due to insufficient fund in the drawer’s bank account is referred to as
What is the effect of Tsh. 50,000 being added to purchases instead of being added to a non-current asset?
Section B
Match the items in Column A with the responses in Column B by writing the letter of the correct response beside the item number in the answer booklet provided.
| Column A | Column B |
|---|---|
| (i) The net worth of the business to the owner of the business. | A Floating capital |
| (ii) The property purchased in order to be retained in the business. | B Capital expenditure |
| (iii) The assets which can be converted into cash within a relatively short period. | C Current assets |
| (iv) The sum of all current assets. | D Working capital |
| (v) The difference between total current assets and stock. | E Fixed assets |
| (vi) The current assets less stock over current liabilities. | F Current liabilities |
| (vii) The total value of assets less total debtors. | G Working capital ratio |
| (viii) The amount of money used for the day to day running of the business | H Capital |
| (ix) Total current assets over total current liabilities. | I Liquid capital |
| (x) The debts which must be paid promptly | J Liquid capital ratio |
| preferably within one year. | K Capital owned |
| L Capital employed | |
| M Capital receipts | |
| N Long-term liabilities | |
| O Profit percentage on capital invested |
Upgrade to see model answers.
Answer all questions in this section.
Upgrade to see model answers.
From the following given information, find out the amount to be transferred to Profit or Loss Account by using Rent received Account. 1st Jan. 2015 31st Dec. 2015 Sh. Sh. Rent received outstanding 420,000 320,000 Rent received in advance 550,000 120,000 A total sh. 9,870,000 cash was received during the year.
Upgrade to see model answers.
Section C
On 1st January, 2015, F. Wood had the following assets and liabilities: _______________________________________________________________________ Sh. Cash at bank 1,400,000 Stock 4,000,000 Debtors: W. Kamau 1,500,000 R. Nundu 960,000 Creditors: J. Polo 1,300,000 S. Matoke 850,000 Office equipment 420,000 Motor van 3,200,000 His transaction during the month of January were as follows: January 2 Withdrew sh. 200,000 from bank for office use 2 Purchased goods from J. Polo sh. 250,000 on credit 4 Bought office stationery sh. 36,000 in cash 7 Received cheque sh. 940,000 from R. Nundu in full settlement less sh. 20,000 cash discount 12 Sold goods to W. Kamau sh. 1,400,000 on credit 14 Paid salaries sh. 80,000 in cash 15 Paid S. Matoke sh. 600,000 by cheque on account 16 Returned goods worth sh. 30,000 to J. Polo and received a credit note 20 Bought office equipment sh. 145,000 on credit from Patel Brothers 23 Sold all goods on hand receiving sh. 1,250,000 cash and sh. 5,000,000 by cheque 27 Paid Patel Brothers sh. 130,000 in cash 28 Withdrew sh. 370,000 from the bank for personal use 29 Paid rent sh. 160,000 in cash and salaries sh. 180,000 by cheque From the above information:
| Sh. | |
|---|---|
| Cash at bank | 1,400,000 |
| Stock | 4,000,000 |
| Debtors: W. Kamau | 1,500,000 |
| R. Nundu | 960,000 |
| Creditors: J. Polo | 1,300,000 |
| S. Matoke | 850,000 |
| Office equipment | 420,000 |
| Motor van | 3,200,000 |
Upgrade to see model answers.