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Accounting 100

Total questions: 13

Worksheet time: 14mins

Name
Class
Date
1.

Payable Ragdoll Supplies

Amount of Trade inventories purchased on 2Oct of R5 386 should be R3 586

Provide the correcting journal

a)

Dr: Payable 1 800

Cr: Inventories 1 565

Cr: VAT input 255

b)

Dr: Payable 1 800

Cr: Inventories 1 565

Cr: VAT input 235

c)

Dr: Payable 1 800

Cr: Inventories 1 800

d)

Dr: Payable 1 200

Cr: Inventories 1 043

Cr: VAT input 157

2.

Amount of trade inventories (1 540) returned on 3 October does not include VAT

Provide the correcting journal

a)

Dr: Inventories 201

Cr: VAT input 201

b)

Dr: Inventories 231

Cr: VAT input 231

c)

Dr: Payable 201

Cr: VAT input 201

d)

Dr: Payable 231

Cr: VAT input 231

3.

What is the balance to be paid on 3 November as per the remittance advice for Payable Ragdoll Supplies ?

(No R sign, no spaces between digits)

(a)  

4.

Regarding trade inventories purchased from Payable WoofWoof on 23 Oct:

(Refer to the general ledger)

Amount recorded on books: R390

Actual cost is R930

Was Inventories over-stated or under-stated and at what amount?

a)

Over-stated, R 540

b)

Under-stated, R540

c)

Under-stated, R470

d)

Over-stated, R470

5.

Regarding trade inventories purchased from Payable WoofWoof on 23 Oct:

(Refer to the general ledger)

Amount recorded on books: R390

Actual cost: R930

Was VAT Input over-stated or under-stated and at what amount?

a)

Over-stated, R70

b)

Under-stated, R70

c)

Over-stated, R81

d)

Under- stated, R81

6.

Inventories returned to Payable WoofWoof to the value of R38 have been entered in records of Wow-Bow as trade inventories purchased

Provide the amount that should correct this error made by Wow-Bow

(No R sign, no spaces)

(a)  

7.

What is the balance to be paid to Payable WoofWoof as per the remittance advice

(No R sign, no spaces between numbers)

(a)  

8.

What is the balance of the Trade payables that should be shown on the SFP of Wow-Bow?

(No R sign, no spaces between digits)

(a)  

9.

What is the balance of the Trade receivables that should be shown on the SFP of Wow-Bow?

(No R sign, no spaces between digits)

(a)  

10.

A vehicle can travel up to 2 900 700km in its total useful life

CV@ end of 2023: R 1000 000

400 700km has been traveled up to end of 2023

The vehicle travelled 2 300 000m during 2024

Calculate the depreciation for 2024.

a)

R920 000

b)

R792 912

c)

R700 000

d)

R920

11.

True or false: An impairment loss is recognized when the Carrying value is greater than the Receivable amount?

a)

True

b)

False

12.

Calculate the Impairment loss to be recognized for the year ended 2024

Accounting Ltd is a VAT vendor.

The company bought a delivery vehicle at a cost of R1 564 000 excluding VAT on 1 Aug 2024. An invoice showing an amount of R33 350 was received from a VAT vendor regarding transportation of the vehicle to the entity's premises on the same day. A cost of R20 000 excl VAT was incurred to celebrate the acquisition of the vehicle (also same day).

On 30 November 2024, An accident resulted in minor damage to the vehicle and a Recoverable amount of R 1 080 000

Useful life is 8 years - straight line method

Year end: 31 DECEMBER

a)

R270 292

b)

R236 656

c)

R251 125

d)

R446 625

13.

Definition of a liability as per the Conceptual framework

a)

A present legal obligation of the entity to transfer economic resources as a result of past event

b)

A present obligation of the entity to transfer economic resources as a result of past event

c)

An obligation of the entity to transfer economic resources

d)

A present economic resource controlled by an entity as a result of a past event