FAC1502 May/Jun 2015 exam paper — questions

Every question, by topic

1. Question 1.1 · Adjustments & year-end entries · 3.5 marks

   Lady Gizela Clothing Manufacturers' statement of financial position at 28 February 2014 showed: long-term loan R62 000; current portion of long-term loan R5 000; accrued expenses (interest on long-term loan) R6 281,25; prepaid expenses (insurance) R500; inventory R25 000; fixed deposit R21 000 with accrued interest R250. For the year to 28 February 2015: R5 000 of the loan is repayable every 1 June until settled; the loan was taken on 1 June 2013 with interest at 12,5% p.a. payable annually in arrears on 1 June; inventory on hand at 28 February 2015 is R20 500 (periodic system); insurance is paid annually in advance on 30 June for the year 1 July to 30 June, and the premium paid on 30 June 2014 was R4 500. Prepare the long-term loan account, properly closed off, for the year ended 28 February 2015, showing calculations.Show the full questionShow less

2. Question 1.2 · Adjustments & year-end entries · 4 marks

   Using the Lady Gizela information, prepare the accrued expenses account, properly closed off, for the year ended 28 February 2015, showing calculations.Show the full questionShow less

3. Question 1.3 · Adjustments & year-end entries · 4 marks

   Using the Lady Gizela information, prepare the prepaid expenses account, properly closed off, for the year ended 28 February 2015, showing calculations.Show the full questionShow less

4. Question 1.4 · Adjustments & year-end entries · 3 marks

   Using the Lady Gizela information, prepare the inventory account, properly closed off, for the year ended 28 February 2015.Show the full questionShow less

5. Question 1.5 · Adjustments & year-end entries · 5.5 marks

   Using the Lady Gizela information, prepare the interest on long-term loan account, properly closed off, for the year ended 28 February 2015, showing calculations.Show the full questionShow less