Assessment 1 2024
Q1
If the closing balance of the VAT input account and VAT output account for the month
ended 31 December 20.20 amount to R7 691 and R38 111, respectively. Is the following
statement true or false about the VAT control account for the month ended 31
December 20.20.
The VAT control account will reflect a payment due to SARS of R30 420.
A. True
B. False
The correct answer is 'True'.
Q2
An entity has the following balances:
Bank: R3 000; UniTutors
Vehicles: R12 000:
Trade receivables: R2 000.
According to the basic accounting equation, the entity's equity is …
NB: Instructions
1. Use a full stop to indicate any decimals (eg: 1000.01)
2. Only show the amount, do not show the R (eg: 12141.72)
Answer: 17000
The correct answer is: 17000
Q3
If the closing balance of the VAT input account and VAT output account for the month
ended 31 December 20.20 amount to R7 691 and R38 111, respectively. Is the following
statement true or false about the VAT control account for the month ended 31
December 20.20.
,The VAT control account will be debited with the amount of the VAT input account of R7
691 and credited with the amount of the VAT output account of R38 111.
A. True
B. False
The correct answer is 'True'.
Q4
Indicate whether the following statement is true or false:
The main forms of ownership in South Africa are sole traders and close corporations.
A. True
B. False
The correct answer is 'False'.
UniTutors
Q5
Please choose the correct option for the given scenario.
The basic accounting equation can be stated as …
Double-entry system of accounting states that …
On 21 January 20.21, Deborah’s coffee shop received interest of R5 780 from Ten Bank
on a Fixed deposit. The effect of the transaction on the accounting equation is ...
Equity of an entity is also referred to as …
The correct answer is:
The basic accounting equation can be stated as … → Assets = Equity + Liabilities,
Double-entry system of accounting states that … → every transaction has a dual
effect on the elements of the basic accounting equation.,
,On 21 January 20.21, Deborah’s coffee shop received interest of R5 780 from Ten Bank
on a Fixed deposit. The effect of the transaction on the accounting equation is ... →
assets will increase with R5 780, and equity will increase with R5 780.,
Equity of an entity is also referred to as … → net asset value.
Q6
Ms. T Nkosi is the owner of Innovative Accountants. On 23 April 20.1 Ms T Nkosi made
an EFT payment from the bank account of Innovative Accountants to pay her sons
yearly membership fees of R3 500 to the Happy Tennis Club.
The correct general ledger entries and effect on the accounting equation are …
Instructions:
1. Use a full stop to indicate any decimals (eg: 1000.01)
2. Round off to the second decimal after the full stop (eg: 50.56)
3. A decrease in an amount must be indicated by using a negative sign in front of the
amount (eg: -1000.01) UniTutors
4. An increase must be indicated by the amount without any sign (eg: 1000.01)
5. For embedded Qs, spelling is very important. If you spell the answer incorrect it will
be marked incorrect. Please make sure that your spelling of the words is correct.
6. If an option has been provided and it is not applicable to the specific Q please put
N/A in the column.
General ledger Liabilities Assets Equity
Account debited Account
credited
R R R
Drawings Bank N/A -3500 -3500
Q7
Please choose the correct option for the given scenario.
, The statement that best describes the main aim of accounting is
Financial information of an entity is communicated to the internal and external users by
way of ...
The elements of financial statements are ...
According to the accounting definition, accounting consists of three activities which
relate to transactions. The three activities of accounting are
The correct answer is:
The statement that best describes the main aim of accounting is → to provide useful
financial information for decision making to a wide range of users,
Financial information of an entity is communicated to the internal and external users by
way of ... → a statement of financial position, a statement of profit or loss and
other comprehensive income, a statement of changes of equity and a cash flow
statement,
UniTutors
The elements of financial statements are ... → assets, liabilities, equity, income, and
expenses,
According to the accounting definition, accounting consists of three activities which
relate to transactions. The three activities of accounting are → identifying, recording,
communicating
Q8
Indicate whether the following statement is true or false:
The financial position of a business entity is indicated by the accounting equation.
A. True
B. False
The correct answer is 'True'.
Q1
If the closing balance of the VAT input account and VAT output account for the month
ended 31 December 20.20 amount to R7 691 and R38 111, respectively. Is the following
statement true or false about the VAT control account for the month ended 31
December 20.20.
The VAT control account will reflect a payment due to SARS of R30 420.
A. True
B. False
The correct answer is 'True'.
Q2
An entity has the following balances:
Bank: R3 000; UniTutors
Vehicles: R12 000:
Trade receivables: R2 000.
According to the basic accounting equation, the entity's equity is …
NB: Instructions
1. Use a full stop to indicate any decimals (eg: 1000.01)
2. Only show the amount, do not show the R (eg: 12141.72)
Answer: 17000
The correct answer is: 17000
Q3
If the closing balance of the VAT input account and VAT output account for the month
ended 31 December 20.20 amount to R7 691 and R38 111, respectively. Is the following
statement true or false about the VAT control account for the month ended 31
December 20.20.
,The VAT control account will be debited with the amount of the VAT input account of R7
691 and credited with the amount of the VAT output account of R38 111.
A. True
B. False
The correct answer is 'True'.
Q4
Indicate whether the following statement is true or false:
The main forms of ownership in South Africa are sole traders and close corporations.
A. True
B. False
The correct answer is 'False'.
UniTutors
Q5
Please choose the correct option for the given scenario.
The basic accounting equation can be stated as …
Double-entry system of accounting states that …
On 21 January 20.21, Deborah’s coffee shop received interest of R5 780 from Ten Bank
on a Fixed deposit. The effect of the transaction on the accounting equation is ...
Equity of an entity is also referred to as …
The correct answer is:
The basic accounting equation can be stated as … → Assets = Equity + Liabilities,
Double-entry system of accounting states that … → every transaction has a dual
effect on the elements of the basic accounting equation.,
,On 21 January 20.21, Deborah’s coffee shop received interest of R5 780 from Ten Bank
on a Fixed deposit. The effect of the transaction on the accounting equation is ... →
assets will increase with R5 780, and equity will increase with R5 780.,
Equity of an entity is also referred to as … → net asset value.
Q6
Ms. T Nkosi is the owner of Innovative Accountants. On 23 April 20.1 Ms T Nkosi made
an EFT payment from the bank account of Innovative Accountants to pay her sons
yearly membership fees of R3 500 to the Happy Tennis Club.
The correct general ledger entries and effect on the accounting equation are …
Instructions:
1. Use a full stop to indicate any decimals (eg: 1000.01)
2. Round off to the second decimal after the full stop (eg: 50.56)
3. A decrease in an amount must be indicated by using a negative sign in front of the
amount (eg: -1000.01) UniTutors
4. An increase must be indicated by the amount without any sign (eg: 1000.01)
5. For embedded Qs, spelling is very important. If you spell the answer incorrect it will
be marked incorrect. Please make sure that your spelling of the words is correct.
6. If an option has been provided and it is not applicable to the specific Q please put
N/A in the column.
General ledger Liabilities Assets Equity
Account debited Account
credited
R R R
Drawings Bank N/A -3500 -3500
Q7
Please choose the correct option for the given scenario.
, The statement that best describes the main aim of accounting is
Financial information of an entity is communicated to the internal and external users by
way of ...
The elements of financial statements are ...
According to the accounting definition, accounting consists of three activities which
relate to transactions. The three activities of accounting are
The correct answer is:
The statement that best describes the main aim of accounting is → to provide useful
financial information for decision making to a wide range of users,
Financial information of an entity is communicated to the internal and external users by
way of ... → a statement of financial position, a statement of profit or loss and
other comprehensive income, a statement of changes of equity and a cash flow
statement,
UniTutors
The elements of financial statements are ... → assets, liabilities, equity, income, and
expenses,
According to the accounting definition, accounting consists of three activities which
relate to transactions. The three activities of accounting are → identifying, recording,
communicating
Q8
Indicate whether the following statement is true or false:
The financial position of a business entity is indicated by the accounting equation.
A. True
B. False
The correct answer is 'True'.
