FAC1502 Oct/Nov 2015 exam paper — questions

Every question, by topic

1. Question 1.1 · Debtors & creditors control · 10 marks

   Zakzak Traders at 28 February 2015: creditors control account balances R250 Dr and R34 515 Cr; creditors ledger list R1 030 Dr and R34 565 Cr (net R33 535). The investigation found: (1) the creditors columns of the purchases and purchases returns journals were undercast by R3 850 and R1 500; (2) the creditors column of the cash payments journal was overcast by R1 500; (3) creditor Langeman CC's R3 600 credit balance was left off the list; (4) a R285 credit note from Balantu Importers was correctly entered in the purchases returns journal but posted to Balantu's account as R825; (5) a R1 570 settlement discount received from Bila Clothing was not recorded in Bila's account in the creditors ledger; (6) the R1 030 of debit balances in the creditors ledger, which includes the R250 debit balance in the control account, represents overpayments and must be transferred to the debtors ledger with the creditors' agreement; (7) an electronic payment of R6 500 to Sefako Wholesales was recorded as R5 600 in the cash payments journal and posted as such to both ledgers; (8) Mmela Shopfitters' R445 credit balance was listed twice; (9) a R1 450 purchase from Andries Traders was correctly entered in the purchases journal but posted to the wrong side of Andries's account; (10) credit balances of R1 855 for creditors were opened in the debtors ledger by mistake — the control account was not affected; (11) the general journal totals for creditors were debits R1 300 and credits R3 600. Prepare the creditors control account in the general ledger at 28 February 2015.Show the full questionShow less

2. Question 1.2 · Debtors & creditors control · 14 marks

   Using the Zakzak Traders information, prepare the adjusted list of creditors' balances at 28 February 2015.Show the full questionShow less

3. Question 2.1 · Bank reconciliation · 8 marks

   Imperial Wholesalers: bank account in the general ledger R1 752 favourable at 1 January 2015; bank statement R432 overdrawn at 31 January 2015. January subtotals: cash receipts journal bank column R24 480; cash payments journal R22 815. Differences found: debtor P Pinto paid R600 directly into the bank account; the bank wrongly debited the account with another client's R1 450 cheque; a R218 cheque from debtor E Eysele received on 17 January was returned on 28 January because of an error on the cheque; service fees R45 and interest on overdraft R32 appear only on the statement; a R3 800 debit order for office rent to AP Office Ltd is on the statement but not in the journal; R1 184 of sales entered in the cash receipts journal on 31 January was only deposited on 4 February; cheques not yet presented — 218 (25 July 2014, BB Ltd, a creditor) R430, 380 (17 January 2015, Telkom) R1 100, 394 (23 January 2015, Rio Stationers) R750. Prepare the bank columns of the cash receipts and cash payments journals at 31 January 2015, starting with the totals given.Show the full questionShow less

4. Question 2.2 · Bank reconciliation · 4 marks

   Using the Imperial Wholesalers information, prepare the bank account, properly balanced, in the general ledger at 31 January 2015.Show the full questionShow less

5. Question 2.3 · Bank reconciliation · 8 marks

   Using the Imperial Wholesalers information, prepare the bank reconciliation statement as at 31 January 2015, beginning with the balance per bank statement.Show the full questionShow less