FAC1601 Exam Pack

MODULE : FAC1601

,FAC1601 Exam
Pack

Contains: Question Papers
with solutions
2016
2017
2018

,MAY/JUNE 2018 FIRST PAPER
(Q1)
HENLAMP TRADERS
Statement of profit or loss and other comprehensive income for the year ended 28 February 2018
R
Revenue (950 000-3 560) 946 440
Cost of sales (455 750)
Opening inventory 80 500
Purchases (402 000-5 200) 396 800
Carriage on purchases 3 550
Closing inventory (25 100)
GROSS PROFIT 490 690
OTHER INCOME
Credit losses recovered 900
Interest on loan to Lampard (1) 4 915

Administration, operating and other expenses (100 028)
Stationery (990-320) 670
Carriage on sales 5 500
Salaries and wages [120 000-(5200 x 12)] 57 600
Rent expense 2 000
Water and electricity (9260-650) 8 610
Insurance (2990 x 12/13) 2 760
Telephone expenses (5850+880) 6 730
Advertising 2 330
Credit losses (2) 278
Depreciation (3) 13 550
FINANCE COSTS (36 000)
Interest on loan (9% x 600 000) x 8/12 36 000
PROFIT FOR THE YEAR 360 477
Other comprehensive income for the year -
Total comprehensive income for the year 360 477

Calculations for Q1
(1) old – 10% (57 900-15 000) 4 290
New (10% x 15 000) x 5/12 625
4 915

, (2) Allowance for credit losses, opening balance 2 105
Allowance for credit losses, closing balance [5% x (35 300 – 650)] 1 733
Decrease in allowance for credit losses 372

Credit losses (given) 650
Less decrease in allowance for credit losses (372)
Credit losses to profit and loss statement 278

(3) Furniture (10% x 65 000) 6 500
Equipment 15% x (82 000 – 35 000) 7 050
13 550