FAC1602 ASSIGNMENT 5 2024 QUESTIONS
AND ANSWERS
1 TO 42 ANSWERS
1. b. R 959,600
2. d. R (97,800)
3. d. R (82,000)
4. a. R (356,800)
5. a. R 0
6. d. R (82,300)
7. a. R (1,300)
8. a. R 21,300
9. c. R (23,900)
10. d. R 124,800
11. b. R 152,000
12. c. R 424,000
13. b. R 102,600
14. d. R 542,300
15. a. R 17,600
16. b. R (13,700)
17. a. R (102,900
18. b. R (65,000)
19. b. R (163,200)
20. d. R 0
21. c. R 2,742,600
22. d. R 299,900
23. d. R 454,000
24. d. R 1,368,900
26. a. R 470,387
27. c. R 111,095
27. c. R 132,805
, 28. a. R 422,816
29. b. R 1,257,900
30. b. R 170,000
31. d. R 97,000
32. b. R 16,600
33. e. the loan is disclosed separately under current liabilities
34. d. R 551,400
35. d. R 1,089,225
36. a. R 0
37. a. R 2,782,000
38. d. R 1,104,900
39. c. R 738,000
40. a. R 190,000
41. d. R 506,100
42. d. the loan is disclosed separately under current assets
The information below relates to questions 1 – 20.
Kroonz Steel CC, is a close corporation based in Kroonstad, Free State Province. The CC specialises
in the manufacturing of a wide variety of steel building materials, catering to both the local and
regional markets. The company prides itself on its commitment to quality and innovation in steel
products, which include beams, columns, and custom steel fabrications for various construction
projects.
The following information has been presented to assist in the preparation of the statement of cash
flows, using the direct method, for the previous financial year ended 31 August 2023:
, Extract from the statement of financial position as at 31 August 2023:
2023 2022
R R
Trade receivables control 97,700 93,200
Prepaid advertising expense 19,400 16,800
Bank 184,200 270,700
Inventory 54,800 32,700
Dividend receivable 19,600 92,400
Investment (at fair value) 182,300 42,300
Fixed deposit 23,900 16,900
Machinery (at cost) 561,500 519,700
Accumulated depreciation: Machinery 162,900 73,000
Land and buildings (at cost) 1,026,000 669,200
Loans to members 130,000 48,000
Trade payables control 175,200 87,800
Current tax payable 82,200 56,300
Long-term loan 362,600 260,000
Accrued security expenses 7,100 3,200
Members’ contributions 1,631,900 1,416,300
Retained earnings 306,000 112,000
Distribution to members payable 100,100 142,700
Loans from members 152,000 0
Extract from the statement of profit or loss and other comprehensive income for the year
ended 31 August 2023:
R
Product sales 955,100
Sales delivery expenses 18,400
Cost of goods sold 446,900
Investment income: dividend income 17,600
Fair value gain on listed investments 23,200
Interest income on loans to members 15,800
Interest expense on loans from members 18,200
Interest expense on long term loans 13,700
Income tax expense 128,800
Profit on sale of machinery 10,100
Rental expenses 24,400
Machine repairs and maintenance 29,500
Travel expenses 34,700
Water and electricity 55,000
AND ANSWERS
1 TO 42 ANSWERS
1. b. R 959,600
2. d. R (97,800)
3. d. R (82,000)
4. a. R (356,800)
5. a. R 0
6. d. R (82,300)
7. a. R (1,300)
8. a. R 21,300
9. c. R (23,900)
10. d. R 124,800
11. b. R 152,000
12. c. R 424,000
13. b. R 102,600
14. d. R 542,300
15. a. R 17,600
16. b. R (13,700)
17. a. R (102,900
18. b. R (65,000)
19. b. R (163,200)
20. d. R 0
21. c. R 2,742,600
22. d. R 299,900
23. d. R 454,000
24. d. R 1,368,900
26. a. R 470,387
27. c. R 111,095
27. c. R 132,805
, 28. a. R 422,816
29. b. R 1,257,900
30. b. R 170,000
31. d. R 97,000
32. b. R 16,600
33. e. the loan is disclosed separately under current liabilities
34. d. R 551,400
35. d. R 1,089,225
36. a. R 0
37. a. R 2,782,000
38. d. R 1,104,900
39. c. R 738,000
40. a. R 190,000
41. d. R 506,100
42. d. the loan is disclosed separately under current assets
The information below relates to questions 1 – 20.
Kroonz Steel CC, is a close corporation based in Kroonstad, Free State Province. The CC specialises
in the manufacturing of a wide variety of steel building materials, catering to both the local and
regional markets. The company prides itself on its commitment to quality and innovation in steel
products, which include beams, columns, and custom steel fabrications for various construction
projects.
The following information has been presented to assist in the preparation of the statement of cash
flows, using the direct method, for the previous financial year ended 31 August 2023:
, Extract from the statement of financial position as at 31 August 2023:
2023 2022
R R
Trade receivables control 97,700 93,200
Prepaid advertising expense 19,400 16,800
Bank 184,200 270,700
Inventory 54,800 32,700
Dividend receivable 19,600 92,400
Investment (at fair value) 182,300 42,300
Fixed deposit 23,900 16,900
Machinery (at cost) 561,500 519,700
Accumulated depreciation: Machinery 162,900 73,000
Land and buildings (at cost) 1,026,000 669,200
Loans to members 130,000 48,000
Trade payables control 175,200 87,800
Current tax payable 82,200 56,300
Long-term loan 362,600 260,000
Accrued security expenses 7,100 3,200
Members’ contributions 1,631,900 1,416,300
Retained earnings 306,000 112,000
Distribution to members payable 100,100 142,700
Loans from members 152,000 0
Extract from the statement of profit or loss and other comprehensive income for the year
ended 31 August 2023:
R
Product sales 955,100
Sales delivery expenses 18,400
Cost of goods sold 446,900
Investment income: dividend income 17,600
Fair value gain on listed investments 23,200
Interest income on loans to members 15,800
Interest expense on loans from members 18,200
Interest expense on long term loans 13,700
Income tax expense 128,800
Profit on sale of machinery 10,100
Rental expenses 24,400
Machine repairs and maintenance 29,500
Travel expenses 34,700
Water and electricity 55,000
