0% found this document useful (0 votes)

43 views84 pages

g13 2nd Revision p3

Uploaded by

hadhiqibrahim

We take content rights seriously. If you suspect this is your content, claim it here.

Available Formats

Download as PDF, TXT or read online on Scribd

0% found this document useful (0 votes)

43 views84 pages

g13 2nd Revision p3

Uploaded by

hadhiqibrahim

We take content rights seriously. If you suspect this is your content, claim it here.

Available Formats

Download as PDF, TXT or read online on Scribd

You are on page 1/ 84

6

Question 3

Source A3

The directors of K plc provide the following information at 31 December 2021.

$
Profit for the year 114 000
Dividend paid 90 000
Ordinary share capital ($1 shares) 600 000
Retained earnings at 1 January 2021 38 000
General reserve 75 000
Revaluation reserve 80 000
8% debenture (2025) 150 000

The market price of one ordinary share on 31 December 2021 was $2.40.

Answer the following questions in the question paper. Questions are printed here for reference
only.

(a) Explain two ways in which accounting ratios may be used by potential investors to assess
the performance of a business. [4]

(b) Calculate to two decimal places the following:

(i) price earnings ratio [2]

(ii) dividend yield [2]

(iii) income gearing [2]

(iv) gearing ratio [4]

(v) return on capital employed. [2]

Additional information

The directors are considering declaring a proposed dividend of $0.20 per ordinary share. Due
to the low level of retained earnings at 31 December 2021, they ask the accountant whether the
dividend can also be paid out of other reserves.

Additional information

The directors are thinking of investing $100 000 in a new project in 2022. The project will generate
a profit of $24 000 before interest in 2022. They have two options to raise $100 000:

option 1: issue of new ordinary shares

option 2: issue of a further 8% debenture.

(d) Advise the directors which option they should choose. Justify your answer. [5]

[Total: 25]
© UCLES 2022 9706/32/INSERT/M/J/22
6

Question 3

Source A3

The summarised statement of financial position of E plc at 31 December 2021 was as follows:

$
Non-current assets 788 000
Current assets 254 000
Total assets 1 042 000

Ordinary share capital ($1 shares) 450 000

General reserve 30 000
Retained earnings 231 000
Total equity 711 000
Non-current liabilities
9% debenture (2028) 150 000
Current liabilities 181 000
Total equity and liabilities 1 042 000

Further information is available:

1 Equity at 31 December 2020 was as follows:

$
Ordinary share capital ($1 shares) 400 000
Share premium 44 000
Retained earnings 204 000
648 000

2 On 1 January 2021, E plc made a one for eight bonus issue of ordinary shares. It is the company’s
policy to keep its reserves in the most flexible form.

3 An interim dividend of $0.30 per share was paid on 1 August 2021. A proposed dividend of $0.25
per share was declared on 31 December 2021.

4 At 31 December 2021, the market value of one ordinary share was $4.52.

5 The general reserve was created on 31 December 2021.

Answer the following questions in the question paper. Questions are printed here for reference
only.

(a) Prepare a statement showing the movement of retained earnings for the year ended
31 December 2021. [4]

© UCLES 2022 9706/33/INSERT/M/J/22

(b) Calculate, to two decimal places, the following:

(i) price earnings ratio [3]

(ii) dividend yield [2]

(iii) gearing ratio [2]

(iv) income gearing [2]

(v) return on capital employed. [2]

(c) Explain what is meant by a ‘highly geared company’. [2]

Additional information

At 31 December 2020, the market value of one ordinary share was $3.64 and the price earnings
ratio was 9.27.

(d) Explain the change in the price earnings ratio with reference to your calculation in (b)(i). [3]

Additional information

On 1 January 2021, E plc had an opportunity to invest $150 000 in a new project. The directors
had two options to finance the new project:

Option 1: issue a 9% debenture for $150 000

Option 2: issue 120 000 ordinary shares at a price of $1.25 per share.

The directors chose Option 1 and the new project contributed a pre-interest profit of $70 000 to the
2021 profit.

(e) Assess whether or not the directors of E plc made the correct decision in issuing the debenture
to finance the new project. Justify your answer. [5]

[Total: 25]

© UCLES 2022 9706/33/INSERT/M/J/22 [Turn over

Question 4

Source A4

The equity and non-current liabilities of W plc at 31 December 2020 are as follows:

$
Equity
Ordinary share capital ($1 shares) 600 000
8% preference share capital ($1 shares) 350 000
Share premium 50 000
Retained earnings 252 000
Total equity 1 252 000

Non-current liabilities
7% ten year debenture (2026–27) 300 000

Answer the following questions in the question paper. Questions are printed here for reference
only.

(a) State two benefits to each of the following groups when a company issues preference shares.

(i) the directors [2]

(ii) the preference shareholders [2]

Additional information

Retained earnings at 1 January 2020 amounted to $195 000.

During the year 2020, the preference shares dividend, $28 000, and the ordinary shares dividend,
$90 000, were paid.

A dividend of $0.05 on each of the ordinary shares was proposed at the end of the year.

(b) Calculate the profit from operations for the year ended 31 December 2020. [3]

Additional information

The market value of one ordinary share at 31 December 2020 was $1.80.

(i) return on capital employed (ROCE) [1]

(ii) dividend cover [2]

(iii) dividend yield [2]

(iv) gearing [2]

© UCLES 2021 9706/32/INSERT/F/M/21

Additional information

The directors consider that the gearing ratio of W plc is too high.

(d) Explain three actions the directors could take to reduce the gearing ratio. [6]

Additional information

A director of W plc considers that both the debenture and the preference shares adversely affect
the ordinary shareholders.

(e) Advise the director whether or not he is correct. Justify your answer. [5]

[Total: 25]

© UCLES 2021 9706/32/INSERT/F/M/21 [Turn over

Question 4

Source A4

TC plc provided the following information at its year end.

Ordinary shares in issue 1 million at $0.50 each

Annual dividend $80 000
Profit from operations $215 000
Profit for the year $195 000
Market value of one share $0.75

Answer the following questions in the question paper. Questions are printed here for reference
only.

(a) Explain why the use of ratios may be helpful in analysing accounting data. [3]

(b) (i) Calculate, to two decimal places, TC plc’s income gearing ratio. [2]

(ii) State what this ratio tells an investor about the risk of the company. [1]

(iii) Name one other ratio which assesses the relationship between fixed cost capital and
total capital. [1]

(ii) State what this ratio tells an investor about the company’s potential for capital growth.
[1]

(d) (i) Calculate, to two decimal places, TC plc’s dividend yield. [2]

(ii) State what this ratio tells an investor in the company who needs income. [1]

(e) Name and calculate the ratio which shows the amount of profit attributable to each ordinary
share. [3]

(f) Name and calculate, to two decimal places, the ratio which measures the confidence
investors have in the future of the business. [4]

Additional information

Fred is considering investing in TC plc. His brother says that in order to make a decision, Fred
does not need to look at the income statement and statement of financial position, but only needs
to look at the directors’ report.

(g) Advise Fred whether or not he should follow his brother’s advice. Justify your answer. [5]

[Total: 25]

© UCLES 2020 9706/31/INSERT/O/N/20

Question 4

Source A4

RP Limited provided the following information for the year ended 31 January 2020.

$000
Cash sales 1140
Credit sales 7260
Cash purchases 630
Credit purchases 4670
Inventory at 1 February 2019 1150
Inventory at 31 January 2020 1650
Trade receivables 1500
Trade payables 760

Answer the following questions in the question paper. Questions are printed here for
reference only.

(a) Calculate the working capital cycle ratio. Round up your answer to the next whole day. [8]

Additional information

The industry average for the working capital cycle ratio is 100 days.

(b) Compare your answer to (a) with the industry average. Suggest reasons for the difference.
[5]

(c) Explain why having cash sales and cash purchases might affect the usefulness of the working
capital cycle ratio to the directors. [2]

(d) Calculate the net working assets to revenue ratio. [4]

Additional information

The industry average for the net working assets to revenue ratio is 21%.

(e) Compare your answer to (d) with the industry average. Suggest reasons for the difference.
[3]

Additional information

One of the directors has suggested offering cash discount to credit customers.

(f) Advise the directors whether or not the company should start offering cash discount to credit
customers. Justify your answer. [3]

[Total: 25]

© UCLES 2020 9706/32/INSERT/O/N/20

3 Read Source C in the insert.

(a) Explain, with reference to the relevant International Accounting Standards, the appropriate
accounting treatments for the items in:

(i) information 4 (support your answer with calculations)

...........................................................................................................................................

..................................................................................................................................... [5]

(ii) information 5.

...........................................................................................................................................

..................................................................................................................................... [4]

© UCLES 2023 9706/32/F/M/23 [Turn over

(b) Prepare a statement showing the adjusted retained earnings at 31 December 2022.

...................................................................................................................................................

............................................................................................................................................. [6]

© UCLES 2023 9706/32/F/M/23

(c) Prepare an adjusted statement of financial position at 31 December 2022.

...................................................................................................................................................

............................................................................................................................................. [7]

© UCLES 2023 9706/32/F/M/23 [Turn over

(d) State three responsibilities of an external auditor.

1 .................................................................................................................................................

...................................................................................................................................................

2 ................................................................................................................................................

...................................................................................................................................................

3 ................................................................................................................................................

...................................................................................................................................................
[3]

[Total: 25]

Permission to reproduce items where third-party owned material protected by copyright is included has been sought and cleared where possible. Every
reasonable effort has been made by the publisher (UCLES) to trace copyright holders, but if any items requiring clearance have unwittingly been included, the
publisher will be pleased to make amends at the earliest possible opportunity.

To avoid the issue of disclosure of answer-related information to candidates, all copyright acknowledgements are reproduced online in the Cambridge
Assessment International Education Copyright Acknowledgements Booklet. This is produced for each series of examinations and is freely available to download
at www.cambridgeinternational.org after the live examination series.

Cambridge Assessment International Education is part of Cambridge Assessment. Cambridge Assessment is the brand name of the University of Cambridge
Local Examinations Syndicate (UCLES), which is a department of the University of Cambridge.

© UCLES 2023 9706/32/F/M/23

Source C for Question 3

The draft statement of financial position of T Limited at 31 December 2022 is as follows:

$
Non-current assets
Property, plant and equipment 425 000

Current assets
Inventories 42 000
Trade receivables 225 000
Other receivables 6 000
Cash and cash equivalents 74 000
347 000

Total assets 772 000

Equity
Ordinary share capital ($1 shares) 400 000
Share premium 35 000
Revaluation reserve 60 000
Retained earnings 86 000
Total equity 581 000

Current liabilities
Trade payables 152 000
Other payables 39 000
Total liabilities 191 000

Total equity and liabilities 772 000

The following information is also available.

1 A proposed dividend of $0.05 per share had been accounted for and set against the retained
earnings accordingly.

2 A machine, cost $42 000, was purchased on 1 July 2022. On the same date, T Limited also paid
$8000 for a 4-year repairing contract starting on that date. The total amount, $50 000, had been
included in the machinery account. Depreciation on machinery is provided at 20% per annum
using the reducing balance method with a full year’s depreciation in the year of purchase.

3 The only property of T Limited was revalued upward by $60 000 two years ago. This property was
revalued again on 31 December 2022. The decrease in value of $35 000 had been set against the
retained earnings.

© UCLES 2023 9706/32/INSERT/F/M/23

4 The carrying value of a motor van, $27 000, was included in the value of the non-current assets on
31 December 2022. The value of the motor van was reviewed on that date. It had a value in use of
$23 200. If it were sold, it could be sold for $24 500 but a selling cost of $1800 would be incurred.

5 In December 2022, an employee was injured on the office premises. Legal proceedings have
started. The company’s lawyer has advised that T Limited will probably be found liable and the
compensation would be $9000. As the case will be heard in court in April 2023, the directors had
not accounted for the compensation in the draft financial statements.

© UCLES 2023 9706/32/INSERT/F/M/23

Question 4

Source A4

Alan and Bobby were in partnership sharing profits and losses in the ratio of 3:2. The partnership’s
statement of financial position at 31 March 2022 was as follows:

$ $
Non-current assets
Land and buildings 350 000
Equipment 158 000
Motor vehicles 57 000 565 000

Current assets
Inventory 75 000
Trade receivables 93 000
Bank 52 000 220 000
785 000

Capital accounts
Alan 400 000
Bobby 320 000 720 000

Current accounts
Alan (6 000)
Bobby 25 000 19 000

Current liabilities
Trade payables 46 000
785 000

A company, MM Limited, acquired Alan and Bobby’s partnership business on 1 April 2022. The company
acquired all the assets except the bank account and a motor vehicle. The motor vehicle was taken over
by Alan at the value of $18 000. The partnership paid $45 000 in full settlement of trade payables.

The value of assets taken over by MM Limited was:

$
Land and buildings 410 000
Equipment 132 000
Motor vehicles 30 000
Inventory 70 000
Trade receivables 88 000
730 000

The goodwill of the partnership was also agreed at $40 000. The purchase consideration was settled
by $1 ordinary shares in MM Limited at the value of $1.40 per share. The shares were split between
Alan and Bobby equally.

© UCLES 2022 9706/32/INSERT/M/J/22 [Turn over

Answer the following questions in the question paper. Questions are printed here for reference
only.

(a) Prepare a statement showing the partners’ share of profit or loss on realisation. [6]

(b) Prepare the partners’ capital accounts in columnar form to show the closing entries. [5]

(d) Define the term ‘intangible asset’. [2]

(e) Discuss the reasons why the purchase consideration was more than $730 000. [6]

(f) Advise the directors whether or not they should have paid more than $730 000 for the
partnership. Justify your answer. [3]

[Total: 25]

© UCLES 2022 9706/32/INSERT/M/J/22

Question 3

Source A3

Eunice and Malcolm had been in partnership for five years. They had agreed at the start that Eunice
would provide most of the capital and Malcolm would provide labour by devoting his time to running the
business. They, therefore, decided on a profit sharing ratio of 4:1.

Answer the following questions in the question paper. Questions are printed here for reference
only.

(a) Suggest two ways, other than the profit sharing ratio, in which a partnership could reward the
introduction of capital and labour by partners. [2]

Additional information

Eunice and Malcolm decided to retire and agreed to sell their business to FD Limited, receiving
shares in return.

(b) State three differences between being a partner in a partnership and a shareholder in a
limited company. [6]

Additional information

The partnership was sold on 31 December 2020. The summarised statement of financial position
of the partnership on that date was as follows.

$
Non-current assets 88 000
Trade receivables 19 600
Bank 100
107 700

Capital accounts – Eunice 80 000

– Malcolm 15 000
Current accounts – Eunice 10 000
– Malcolm (5 000)
Trade payables 7 700
107 700

FD Limited took over all the assets and liabilities of the partnership including the bank account.
The purchase consideration was $175 000, consisting of 140 000 ordinary shares of $1 each.
These were divided between Eunice and Malcolm on the basis of the balance on each partner’s
capital account on dissolution.

(c) Calculate the number of shares received by each partner. [6]

© UCLES 2021 9706/31/INSERT/O/N/21 [Turn over

Additional information

The profit for the partnership had been $30 000 a year.

FD Limited had a profit for the year of $600 000 in the year ended 31 December 2020. On that
date the company had 1 million ordinary shares in issue. It was the policy of the company to have
a dividend cover of 3 times.

(d) Advise Malcolm whether or not he made the right decision when agreeing to sell the
partnership. Support your answer with calculations. [7]

Additional information

FD Limited took over the non-current assets at a valuation of $130 000. All other assets and
liabilities were taken over at their book values.

(e) Prepare the journal entry recording the acquisition of the partnership in the books of FD Limited.
A narrative is not required. [4]

[Total: 25]

© UCLES 2021 9706/31/INSERT/O/N/21

Question 3

Source A3

R Limited has been trading for one year and is considering whether or not to purchase the business of
Joe Tu, a sole trader.
The draft statements of financial position for both businesses at 31 December 2017 are shown below:
R Limited Joe Tu
$ $
Non-current assets (at net book value)
Land and buildings 454 000 128 000
Plant and equipment 294 000 30 000
748 000 158 000
Current assets
Inventory 98 000 35 000
Trade receivables 123 000 39 000
Cash and cash equivalents 58 000 2 800
279 000 76 800

Total assets 1 027 000 234 800

Equity and liabilities

Equity
Ordinary shares of $1 each 800 000
Capital at 1 January 2017 160 000
Profit for the year 132 000 19 800
Drawings (12 000)
932 000 167 800
Current liabilities
Trade payables 95 000 67 000

Total equity and liabilities 1 027 000 234 800

The following information is also available.

Robert and Paul are the only shareholders and directors of R Limited. As part of the purchase
agreement, Joe Tu will be appointed as a director of R Limited with an annual director’s fee of
$30 000, the same amount as Robert and Paul each receive.

The sales revenue and gross margin for both businesses for the year ended 31 December 2017 were:
R Limited Joe Tu
Sales revenue $1 500 000 $250 000
Gross margin 50% 45%

Robert is in favour of buying Joe Tu’s business and of him becoming a director. He believes that for
the year ended 31 December 2018:

Combined sales revenue can be increased by 20%, earning a gross margin of 50%.
Combined operating expenses, other than directors’ fees, can be reduced by 30%.

However, Paul is not happy about buying Joe Tu’s business or him becoming a director.

© UCLES 2018 9706/32/INSERT/F/M/18 [Turn over

Answer the following questions in the Question Paper. Questions are printed here for
reference only.

(a) (i) Prepare a statement to calculate the operating expenses for each business for the year
ended 31 December 2017. [4]

(ii) Prepare a statement to calculate the expected additional profit R Limited will make for
the year ended 31 December 2018 if it buys Joe Tu’s business. [4]

Additional information

1 Purchase consideration will be $180 000 payable to Joe Tu by issuing 150 000 ordinary
shares of R Limited.

2 R Limited will take over Joe Tu’s assets and liabilities, except the bank account, at the
following values:

$
Land and buildings 139 000
Plant and equipment 14 000
Inventory 40 000
Trade receivables 36 000
Trade payables 67 000

3 The directors of R Limited will also revalue their own land and buildings upwards by
$28 000.

(b) State why a business may revalue its assets when it is being purchased by another
business. [1]

(c) Prepare the statement of financial position of R Limited at 31 December 2017 if Joe Tu’s
business was purchased by it on that date. [11]

(d) Advise Robert and Paul whether or not they should buy Joe Tu’s business. Justify your
answer by discussing the non-financial advantages and disadvantages of this action. [5]

[Total: 25]

© UCLES 2018 9706/32/INSERT/F/M/18

Question 4

Source A4

X Limited acquired the partnership business of Amy and Beth on 1 January 2018. The statement of
financial position of each business at 31 December 2017 was as follows:

Amy and
X Limited
Beth
$ $
Non-current assets 142 000 654 000

Current assets
Inventory 38 000 82 000
Trade receivables 49 000 83 700
Cash and cash equivalents 4 000 98 400
91 000 264 100

Total assets 233 000 918 100

Equity and liabilities

Ordinary shares of $1 each 700 000
Retained earnings 144 500
Capital account
Amy 120 000
Beth 80 000
200 000
Current account
Amy 3 500
Beth (1 500)
2 000
Current liabilities
Trade payables 31 000 73 600

Total equity and liabilities 233 000 918 100

© UCLES 2019 9706/31/INSERT/O/N/19

The following information is also available.

1 X Limited took over all the assets and liabilities of the partnership business, except the cash
and cash equivalents, at the following values.
$
Non-current assets 148 000
Inventory 41 000
Trade receivables 47 000
Trade payables 30 000

2 The purchase consideration was $240 000. This consisted of an issue of 90 000 ordinary
shares divided equally between the partners. Each ordinary share had a market value of
$2.50 at 1 January 2018.

The balance was paid in cash.

3 Amy and Beth share profits and losses in a ratio of 4 : 3.

Answer the following questions in the Question Paper. Questions are printed here for
reference only.

(a) Calculate the profit or loss made by the partners on the sale of their business to X Limited. [4]

(b) Prepare the capital accounts of Amy and Beth to show the closure of their partnership
business. [5]

(c) Prepare the statement of financial position of X Limited at 1 January 2018 immediately after
the acquisition of the partnership. [9]

(d) State two advantages to a company of purchasing another business. [2]

Additional information

Retained earnings of X Limited at 31 December 2017 and 31 December 2018 were as follows.

31 December 31 December
2017 2018
$ $
Retained earnings  start of the year 81 500 144 500
Profit for the year 168 000 145 000
Dividend paid (105 000) (97 500)
Retained earnings  end of the year 144 500 192 000

(e) Assess whether or not X Limited has made the right decision to acquire the partnership
business. Support your answer using relevant calculations. [5]

[Total: 25]

© UCLES 2019 9706/31/INSERT/O/N/19 [Turn over

Question 3
Source A3
Alice and Bruno had been in partnership for some years when they decided to sell their business to
D Limited on 31 December 2018.
The statements of financial position of the two businesses on that date were as follows.
Alice and Bruno D Limited
$000 $000
Non-current assets
Land and buildings 80 320
Equipment 20 77
100 397
Current assets
Inventory 25 68
Trade receivables 15 41
Bank 7 76
47 185
Total assets 147 582
Equity
Capital accounts
Alice 75
Bruno 30
105
Current accounts
Alice 24
Bruno 6
30
Ordinary share capital ($1 shares) 300
Retained earnings 153
453
Non-current liabilities
Debentures 100
Current liabilities
Trade payables 12 29
Total equity and liabilities 147 582

The following information is also available:

1 Return on capital employed (ROCE) before acquisition and before revaluation of assets was:

Alice and Bruno 8%

D Limited 6%

2 The purchase consideration for the acquisition of the partnership was $266 000. This consisted of
the following:

$56 000 in cash

$60 000 in 8% debentures repayable in 2026
100 000 ordinary shares of $1 each in D Limited at a premium.

3 The partnership land and buildings were taken over at a valuation of $195 000. All other assets
and liabilities except bank were taken over at book value.

© UCLES 2019 9706/33/INSERT/O/N/19 [Turn over

Answer the following questions in the Question Paper. Questions are printed here for
reference only.

(a) Prepare, in the books of D Limited, the journal entry needed to record the acquisition of the
partnership on 31 December 2018. A narrative is not required. [9]

(b) Calculate the gearing ratio of D Limited:

(i) before the acquisition [2]

(ii) after the acquisition. [2]

(d) Advise the directors of D Limited whether or not they made a good decision in acquiring the
partnership. Justify your answer, making reference to your answers to parts (b) and (c). [5]

(e) State two advantages of being a shareholder in a limited company instead of being a partner
in a partnership. [2]

[Total: 25]

© UCLES 2019 9706/33/INSERT/O/N/19

Question 2

Source A2

Sarah was a sole trader who agreed to sell her business to DB plc on 31 October 2021.

Their summarised statements of financial position immediately prior to the sale of Sarah’s business
showed the following:

Sarah DB plc
$ $
Non-current assets at net book value 120 000 722 000
Current assets
Inventory 17 000 101 000
Trade receivables 15 000 76 000
Bank 12 000 24 000
Total current assets 44 000 201 000
Total assets 164 000 923 000

Capital 123 000

Ordinary shares of $1 each 400 000
Retained earnings 464 000
123 000 864 000
Current liabilities
Trade payables 21 000 59 000
Short-term bank loan 20 000
Total current liabilities 41 000 59 000
Total capital and liabilities 164 000 923 000

The terms of the sale of the business were as follows:

1 The purchase consideration was $240 000. This was settled with $30 000 in cash and 150 000
ordinary shares of $1 each in DB plc.

2 DB plc took over all the assets and liabilities of Sarah’s business except for the loan and the
bank account.

3 Non-current assets were taken over at a value of $203 000 and inventory at a value of
$14 000.

Answer the following questions in the question paper. Questions are printed here for reference
only.

(a) Prepare the following ledger accounts in the books of Sarah to record the sale of her business
and the settlement of the amount due to her.

(i) DB plc account [3]

(ii) Bank account [4]

(iii) Capital account [4]

(b) Prepare the statement of financial position of DB plc immediately after the purchase of
Sarah’s business. [7]

© UCLES 2022 9706/32/INSERT/O/N/22 [Turn over

Additional information

A year later the market price of one ordinary share in DB plc had risen to $1.80, but the dividend
yield had fallen to 3%. Sarah was able to earn interest of 4% on funds she invested elsewhere.

(c) Advise Sarah whether or not she should sell her shares in DB plc and invest the proceeds to
earn interest. Justify your answer. [5]

(d) Explain how stewardship affects a business purchase by a limited company. [2]

[Total: 25]

© UCLES 2022 9706/32/INSERT/O/N/22

Question 3

Source A3

T Limited has a financial year end of 31 December. Its total assets and total liabilities were as follows:

31 December 2020 31 December 2019

$ $
Property, plant and equipment 867 000 842 000
Inventories 126 000 111 000
Trade receivables 299 520 254 400
Cash and cash equivalents 49 000
Total assets 1 292 520 1 256 400

8% debentures (2024–25) 120 000 200 000

Trade payables 179 400 171 000
Bank overdraft 42 000
Total liabilities 341 400 371 000

The equity of T Limited at 31 December 2019 was as follows:

31 December 2019
$
Ordinary share capital ($1 shares) 600 000
Share premium 48 000
Revaluation reserve 75 000
Retained earnings 162 400
Equity 885 400

During the year ended 31 December 2020, the following transactions took place.

1 March A dividend of $0.16 per share was paid.

1 April A bonus issue of 1 share for every 10 ordinary shares held was made. The directors
keep the reserves in the most flexible form.
1 October 50 000 new shares were issued at $1.40 each. All shares were subscribed for and
fully paid.
1 December Land (included in property, plant and equipment) was revalued upwards by $25 000.

Answer the following questions in the question paper. Questions are printed here for reference
only.

(a) Prepare the statement of changes in equity for the year ended 31 December 2020, showing
the profit for the year as the balancing figure. A total column is required. [7]

Additional information

The following transactions took place during the year ended 31 December 2020.

1 Additional machinery was purchased at the cost of $93 000.

2 A motor vehicle was sold for $26 000. It had a net book value of $29 000 at the date of
disposal.

3 Interest paid and charged to the income statement amounted to $19 500.

© UCLES 2021 9706/32/INSERT/F/M/21

(b) Prepare a statement of cash flows for the year ended 31 December 2020 in accordance with
IAS 7. [13]

(c) Assess the impact of the payment of the dividend and the partial repayment of the debenture
on the cash and cash equivalents at 31 December 2020 of T Limited. [5]

[Total: 25]

© UCLES 2021 9706/32/INSERT/F/M/21 [Turn over

Section A: Financial Accounting

Question 1

Source A1

The following are the statements of financial position for W Limited at 31 December.

2019 2018
$ $
Non-current assets
Premises 380 000 320 000
Machinery 203 000 202 000
Motor vehicles 113 200 118 000
696 200 640 000
Current assets
Inventory 32 550 36 500
Trade receivables 49 300 46 200
Cash at bank 16 400 8 100
98 250 90 800

Total assets 794 450 730 800

Equity and liabilities

Equity
Ordinary share capital ($1 shares) 440 000 400 000
Share premium 60 000 40 000
General reserve 50 000 35 000
Retained earnings 79 300 104 000
Revaluation reserve 80 000 Nil
709 300 579 000
Non-current liabilities
Bank loan 30 000 100 000

Current liabilities
Trade payables 41 000 36 700
Tax payable 13 400 12 600
Accrued interest 750 2 500
55 150 51 800

Total equity and liabilities 794 450 730 800

© UCLES 2020 9706/33/INSERT/M/J/20

The following information relates to the year ended 31 December 2019.

1 Premises were revalued at $400 000 on 1 January 2019. There were no purchases or disposals of
premises during the year.

2 Additional machines costing $28 000 were purchased during the year.

3 A motor vehicle costing $65 000, with an accumulated depreciation of $26 000, was sold during
the year for $32 500. It was replaced by a new motor vehicle at a cost of $74 000.

4 Tax and interest charged for the year amounted to $13 400 and $8250 respectively.

5 Interim dividend of $0.11 per share was paid in August 2019 before 40 000 additional ordinary
shares were issued for cash.

6 Profit from operations for the year ended 31 December 2019 was $55 950.

Answer the following questions in the Question Paper. Questions are printed here for reference
only.

(a) State three differences between a statement of cash flows and a cash budget. [3]

(b) Prepare a statement reconciling the profit from operations with the cash from operations for
the year ended 31 December 2019. [9]

(c) Prepare a statement of cash flows for the year ended 31 December 2019. Start your answer
with cash from operations from (b). [7]

(d) Discuss the effect of an increase in general reserve during the year on cash flow. [2]

Additional information

The bank loan of $100 000 was to be repaid in 2022. The directors made an early repayment in
part on 30 September 2019.

(e) Discuss whether or not the directors were right in repaying part of the bank loan during the
year ended 31 December 2019. Justify your answer. [4]

[Total: 25]

© UCLES 2020 9706/33/INSERT/M/J/20 [Turn over

Question 4

Source A4

The statement of cash flows of T plc for the year ended 31 December 2018 was as follows:

T plc
Statement of cash flows for the year ended 31 December 2018
$000 $000
Profit from operations 288
Depreciation - land and buildings 4
- machinery 84
- fixtures and fittings 9 97
Profit on disposal of machinery (12)
Increase in inventory (46)
Increase in trade receivables (14)
Decrease in trade payables (4)
Cash from operations 309
Interest paid (29)
Tax paid (87)
Net cash from operating activities 193

Cash flow from investing activities

Purchase of non-current assets (272)
Proceeds of sale of machinery 42
Net cash used in investing activities (230)

Cash flow from financing activities

Proceeds from rights issue of shares 480
Dividend paid (80)
Repayment of debentures (200)
Net cash from financing activities 200
Net increase in cash and cash equivalents 163
Cash and cash equivalents on 31 December 2017 (81)
Cash and cash equivalents on 31 December 2018 82

Further information relating to the year ended 31 December 2018 was as follows:

1 Balances at 1 January 2018 were

$000
Land and buildings
Cost 400
Accumulated depreciation 12
Machinery
Cost 214
Accumulated depreciation 112
Fixtures and fittings
Cost 82
Accumulated depreciation 17
Ordinary share capital ($1 shares) 500
Retained earnings 105
General reserve 40

2 The cost of the non-current assets purchased was $262 000 for new machinery and $10 000 for
fixtures and fittings.

© UCLES 2019 9706/32/INSERT/F/M/19

3 The machinery sold during the year had an original cost of $100 000.

4 The rights issue was made at a premium of $0.20 per share.

5 Tax owing amounted to $72 000 at the start of the year and $85 000 at the end of the year.

6 Interest accrued amounted to $10 000 at the start of the year and $2000 at the end of the year.

7 A transfer to general reserve, $10 000, had been made by the directors.

Answer the following questions in the Question Paper. Questions are printed here for
reference only.

(a) (i) State why a bonus issue of shares would not be recorded in a statement of cash flows.
[1]

(ii) Name one financial item, other than a bonus issue of shares and a transfer to general
reserve, which would not be recorded in a statement of cash flows. [1]

(b) Prepare the non-current assets schedule for the year ended 31 December 2018 for inclusion
in the notes to the financial statements of the company. A total column is required. [9]

Additional information

The directors are considering publishing a cash budget instead of preparing a statement of cash
flows in the future.

(d) Advise the directors whether or not to proceed with this change. Justify your answer. [5]

[Total: 25]

© UCLES 2019 9706/32/INSERT/F/M/19 [Turn over

Question 4

Source A4

The books of account of PM Limited contained the following summarised ledger accounts for the year
ended 31 March 2020.

Premises Provision for depreciation of premises

$000 $000 $000 $000
Balance b/d 900 Balance c/d 900 Balance b/d 72
900 900 Balance c/d 90 Income 18
statement
90 90

Plant and machinery Provision for depreciation of plant and

machinery
$000 $000 $000 $000
Balance b/d 405 Disposal 92 Disposal 46 Balance b/d 184
Bank 117 Balance c/d 430 Balance c/d 245 Income 107
522 522 statement
291 291

Motor vehicles Provision for depreciation of motor vehicles

$000 $000 $000 $000
Balance b/d 198 Disposal 44 Disposal 35 Balance b/d 103
Bank 76 Balance c/d 230 Balance c/d 114 Income 46
274 274 statement
149 149

Disposal of plant and machinery Disposal of motor vehicle

$000 $000 $000 $000
Plant and 92 Provision for 46 Motor 44 Provision for 35
machinery depreciation vehicles depreciation
of plant and Income 10 of motor
machinery statement vehicles
Bank 17 Bank 19
Income 29 54 54
statement
92 92

© UCLES 2020 9706/33/INSERT/O/N/20

Answer the following questions in the question paper. Questions are printed here for reference
only.

(a) Prepare a schedule of non-current assets for the year ended 31 March 2020 in accordance
with the provisions of IAS16, suitable for inclusion in the notes to the accounts. [9]

(b) Identify the total figures from the summarised ledger accounts which would appear in the
statement of cash flows for the year ended 31 March 2020. State the section of the statement
of cash flows in which each figure would be recorded. [10]

(c) Explain how your answer to (a) would be different if the premises had been revalued upwards
at the end of the year. [2]

(d) Explain how your answer to (b) would be different if the premises had been revalued upwards
at the end of the year. [2]

(e) State two items (other than the initial purchase price) which can be included in the total cost
of a non-current asset when following IAS16. [2]

[Total: 25]

© UCLES 2020 9706/33/INSERT/O/N/20 [Turn over

2 The directors of G Limited prepared the following draft statement of financial position at
31 December 2016:

G Limited
Statement of Financial Position at 31 December 2016

$
Non-current assets 642 000
Current assets
Inventory 78 000
Trade receivables 189 000
Other receivables 3 000
Cash and cash equivalents 54 000
324 000

Total assets 966 000

Equity and liabilities

Equity
Ordinary shares of $1 each 550 000
Retained earnings 235 000
785 000

Current liabilities
Trade payables 171 000
Other payables 10 000
181 000

Total equity and liabilities 966 000

The auditor brings the following items to the attention of the directors:

1 G Limited entered into an 18-month rental agreement for a warehouse on 1 May 2016. The
following payments totalling $220 000 were made and charged as an expense in the draft
income statement:

$20 000 rental deposit which is refundable at the end of the lease period; and
$200 000 total rent covering the period from 1 May 2016 to 28 February 2017.

2 After an inspection of G Limited’s office premises by the local authority in December 2016, it
was found that the fire exits did not meet the safety specifications. A penalty of $27 000 is
probable and G Limited will incur a cost of $47 000 to rebuild the fire exits. No accounting
entries had been made for this.

3 A customer who owed $12 000 at 31 December 2016 was declared bankrupt on
12 January 2017. It is probable that only 20% of the debt is recoverable. No accounting
entries had been made for this.

© UCLES 2017 9706/31/M/J/17

REQUIRED

(a) Prepare the revised statement of financial position at 31 December 2016. [10]

(b) Explain how each of items 1 and 2 should be treated in the financial statements. [5]

(c) Explain the role of an external auditor. [4]

(d) Explain why the audit report of a limited company is addressed to the company’s
shareholders and not its directors. [2]

Additional information

G Limited adopted the Weighted Average Cost (AVCO) method to ascertain the value of
inventories in 2016. The purchase price has been increasing over recent years. The directors are
now considering changing to First in, First out (FIFO) method to value inventory in 2017.

REQUIRED

(e) Advise the directors whether or not the method of valuing inventory should be changed.
Justify your answer. [4]

[Total: 25]

© UCLES 2017 9706/31/M/J/17 [Turn over

3 Lushan and Samson are the directors of Z Limited which was newly formed on 1 January 2016.
They understand that they are legally obliged to prepare financial statements in accordance with
International Accounting Standards.

REQUIRED

(a) State four reasons why the business should comply with International Accounting Standards
when financial statements are being prepared. [4]

(b) Explain what is meant by stewardship with regard to the role of the directors. [2]

Additional information

The directors prepared the following draft statement of financial position at 31 December 2016:

Z Limited
Statement of financial position at 31 December 2016

$
Non-current assets
Property, plant and equipment 478 000
478 000
Current assets
Inventories 124 000
Trade receivables 217 000
Cash and cash equivalents 132 000
473 000

Total assets 951 000

Equity and liabilities

Equity
Ordinary shares of $1 each 500 000
Retained earnings 210 000
Total equity 710 000

Current liabilities
Trade payables 188 000
Taxation 53 000
241 000

Total equity and liabilities 951 000

© UCLES 2017 9706/32/M/J/17

Julia is the auditor of Z Limited. During the course of conducting her audit she was provided with
the following information.

1 On 31 December 2016, Z Limited had been sued for an amount of $29 000. Legal advice
indicated that Z Limited had a 90% chance of losing the case.
2 Included in the trade receivables was a debt of $30 000 owed by P Limited which was in
financial difficulty. The directors of Z Limited had accepted office equipment from P Limited
on 31 December 2016 to settle 70% of P Limited’s debt. They were of the opinion that the
recovery of the remaining debt was highly improbable.
3 A piece of machinery had been purchased on 1 January 2016 for $50 000. The machinery
had been depreciated at an annual rate of 20% by using the straight-line method.
At 31 December 2016, it had an estimated fair value of $32 500 and the estimated value in
use was $19 500.

REQUIRED

(c) Prepare a revised draft statement of financial position at 31 December 2016 after
considering the information provided to Julia. [8]

(d) Explain the adjustments you have made to the statement of financial position in (c). [6]

Additional information

Jack, Julia's brother, is the sole trader of a small business. He has asked his sister if his accounts
should be audited.

REQUIRED

(e) Discuss the advantages and disadvantages to Jack of having his accounts audited. [5]

[Total: 25]

© UCLES 2017 9706/32/M/J/17 [Turn over

Question 3

Source A3

The directors of K Limited provided information on the following balances at 31 December 2017:
$
Plant and machinery at net book value 654 000
Human asset (see note 1) 116 000
Inventory 146 000
Trade receivables 182 000
Cash and cash equivalents 56 000
$1 Ordinary shares 600 000
Retained earnings at 1 January 2017 215 000
Profit for the year 98 000
Trade payables 166 000
Other payables 75 000

During the course of the year-end audit, the external auditor obtained the following information from
the directors (notes 1 to 3).

1 During the year, K Limited paid a deposit of $70 000 for a 6-month training programme
commencing on 1 November 2017. The balance of $50 000 will be paid on completion of the
programme. This had been included in ‘other payables’.

The directors believed that the training would benefit the company for 5 years. The total
payments were regarded as an intangible asset and recorded as a ‘human asset’. Amortisation of
$4000 had been provided.

2 Inventory at 31 December 2017 included some obsolete goods. These had been included in the
inventory at their original cost of $12 000. They could only be sold at half of the normal selling
price which was 25% above cost.

3 On 1 July 2017, K Limited paid $60 000 for acquiring the right to use computer software for three
years. The full amount had been charged as an expense in the income statement.

Answer the following questions in the Question Paper. Questions are printed here for
reference only.

(a) Explain the role of an external auditor. [2]

(b) Explain the correct accounting treatment of the items in notes 1 and 2. [5]

© UCLES 2018 9706/31/INSERT/M/J/18

(d) State the values at which the following should be included in the statement of financial
position at 31 December 2017.

(i) Software licence [2]

(ii) Inventory [1]

(iii) Retained earnings [1]

(iv) Other payables [1]

Additional information

K Limited needs additional computer software. The directors are considering whether to buy the
computer software or acquire the right to use the new software for three years.

(e) Evaluate whether the directors should buy the computer software or acquire the right to use it
for three years. Justify your answer. [5]

[Total:25]

© UCLES 2018 9706/31/INSERT/M/J/18 [Turn over

Question 3

Source A3

The directors of DW plc seek to comply with all International Accounting Standards.

Answer the following questions in the question paper. Questions are printed here for reference
only.

(a) Explain what is meant by the following terms:

(i) an adjusting event [2]

(ii) a non-adjusting event. [2]

Additional information

DW plc has a financial year end of 31 December. On 31 December 2020 the draft profit for the year
was calculated as $8100 and the draft statement of financial position at that date included the following
values.

$
Machinery (at cost) 186 000
Accumulated depreciation of machinery 91 500

On 1 January 2021 the directors reviewed the values of all the non-current assets. This indicated that
the machinery could be sold for $87 000. The cost of dismantling the machinery and transporting it to a
new owner would amount to $3000.

The present value of future total estimated net cash flows arising from the use of the machinery was
$90 000.

(b) State the amounts of the following with regard to the machinery:

(i) its fair value [1]

(ii) its value in use. [1]

(c) Calculate with regard to the machinery:

(i) the carrying amount [1]

(ii) the recoverable amount [1]

(iii) the impairment loss. [2]

(d) Explain how the impairment loss should be recorded in the financial statements. [4]

Additional information

On 3 January 2021 there was a fire in the company’s warehouse, and inventory costing $18 000 was
destroyed. It was expected that the company’s insurance would cover only part of the cost.

(e) Explain how the financial effects of the fire should be recorded in the financial statements for
31 December 2020. [3]

© UCLES 2021 9706/34/INSERT/M/J/21

(f) Explain what is meant by an audit of a limited company. [3]

(g) Discuss how the shareholders of DW plc are likely to react to an unqualified audit report. [3]

(h) Explain what is meant by the term ‘stewardship’ in relation to the directors of DW plc. [2]

[Total: 25]

© UCLES 2021 9706/34/INSERT/M/J/21 [Turn over

Question 2

Source A2

AB plc is a trading company. The draft profit from operations for the year ended 31 December 2021
was $98 000 before the following items were considered.

1 On 1 September 2021, AB plc issued a 6% debenture for $200 000. Interest is payable half-yearly.

2 Revaluation reserve at 1 January 2021, $72 000, arose from the revaluation of a property on
1 January 2017. The property was purchased on 1 January 2013. It is depreciated using the
straight-line method over its useful life of 40 years with no residual value.

On 1 January 2017, the market value of the property was $432 000.
On 1 January 2021, the property was revalued again at $296 000. No accounting entries had been
made to record this.

The book-keeper had continued to provide depreciation for the property based on the value of
$432 000.

3 In the financial statements of 2020, a non-current asset was wrongly classified, with the effect that
depreciation had been overcharged by $20 000 in 2020 and $14 000 in 2021.

4 AB plc sells goods at a mark-up of 60%. In December 2021, defective goods with a sales value
of $28 000 were returned by customers. The cost value of the returned goods had been included
in inventory at 31 December 2021. It is expected that if $6000 is incurred to repair the returned
goods, they can be sold at 80% of normal selling price.

Answer the following questions in the question paper. Questions are printed here for reference
only.

(a) Prepare a statement to show the ‘profit for the year’ for the year ended 31 December 2021.
[8]

(b) Explain the accounting treatment of the following, with reference to the relevant international
accounting standards (IAS):

(i) item 3 [3]

(ii) item 4. [3]

© UCLES 2022 9706/32/INSERT/M/J/22

Additional information

Equity of AB plc at 31 December 2020 was as follows:

$
Ordinary share capital ($1 shares) 500 000
Share premium 86 000
Revaluation reserve 72 000
Retained earnings 192 000
850 000

During the year ended 31 December 2021, the following transactions took place.

1 On 1 February, the final dividend of $0.08 per share was paid from the 2020 profit.

2 On 5 March, a bonus issue of one ordinary share for every ten ordinary shares held was
made. It is the policy of the company to keep its reserves in the most flexible form.

3 On 1 June, 100 000 new ordinary shares were offered to the public at $1.80 each. AB plc
received subscriptions for 80 000 shares which were fully paid.

4 On 1 September, an interim dividend of $0.02 per share was paid on all shares held at
31 March 2021.

5 On 31 December, a final dividend of $0.09 per share was proposed on all shares held at
31 December 2021.

(d) Prepare the statement of changes in equity for the year ended 31 December 2021. A total
column is not required. [9]

[Total: 25]

© UCLES 2022 9706/32/INSERT/M/J/22 [Turn over

Question 2

Source A2

G plc’s financial year ends on 31 December. The financial statements for the year ended
31 December 2021 were expected to be approved by the board of directors on 1 March 2022.

The accountant had prepared the draft statement of financial position, which contained errors and
omissions, as follows:

Draft statement of financial position at 31 December 2021

$ $
Assets
Non-current assets
Property, plant and equipment 606 000

Current assets
Inventory 80 000
Trade receivables 164 000
Cash and cash equivalents 86 000 330 000

Total assets 936 000

Equity and liabilities

Equity
Ordinary share capital ($1 shares) 600 000
Retained earnings 184 000 784 000

Current liabilities
Trade payables 128 000
Other payables 24 000 152 000

Total equity and liabilities 936 000

Inventory comprised of the following items.

Category Purchase Estimated Estimated cost Estimated

cost selling price of repairing selling expenses
$ $ $ $
A 57 000 98 000 – 7 000
B 13 000 14 000 – 3 000
C 10 000 12 000 2 500 1 000
Total 80 000 124 000 2 500 11 000

Only the purchase cost of each category had been taken into account.

The following items had not been fully taken into account.

1 A machine, costing $80 000, had been purchased on 1 December 2021. G plc had paid $30 000 for
the machine on 1 December 2021 and the balance was to be paid on 1 February 2022. Only the
initial payment of $30 000 was recorded in the relevant accounts. The annual rate of depreciation
is 15% per annum using the reducing balance method. A full year’s depreciation is charged in the
year of purchase.
© UCLES 2022 9706/33/INSERT/M/J/22
5

2 A building which had cost $300 000, with accumulated depreciation of $96 000 at 31 December 2021,
was revalued on that date at $350 000.

3 In December 2021, an employee filed a lawsuit against G plc for wrongful dismissal and asked
for compensation of $26 000. The company’s lawyer advised the directors that there was an 80%
probability of successfully defending the case. The legal cost for defending the case, of about
$8 000, would be settled when the case finished regardless of the outcome.

4 On 1 February 2022, a credit customer owing $12 000 at 31 December 2021 was declared
bankrupt. G plc was advised that none of the debt could be recovered.

Answer the following questions in the question paper. Questions are printed here for reference
only.

(a) Prepare a revised statement of financial position at 31 December 2021. [14]

(b) Explain the correct accounting treatments of the claim and the legal cost in item 3 with
reference to the relevant international accounting standard (IAS). [7]

(c) State what is meant by:

(i) events after the reporting period [2]

(ii) adjusting events [1]

(iii) non-adjusting events. [1]

[Total: 25]

© UCLES 2022 9706/33/INSERT/M/J/22 [Turn over

Question 3

Source A3

Adul and Basha have been in partnership for many years. On 31 December 2020, the partnership
business merged with Carl’s business.

The proposal for the merger was made six months before it took place. One of the conditions for the
merger was that Carl’s accounting system had to be computerised.

Answer the following questions in the question paper. Questions are printed here for reference
only.

(a) State four benefits of a computerised accounting system to a business. [4]

Additional information

The draft statements of financial position for both businesses at 31 December 2020 were as
follows.

Adul and
Basha Carl
$ $
Office equipment 564 000 265 000
Motor vehicles 98 200 65 000
Inventory 46 000 28 000
Trade receivables 83 300 36 000
Cash and cash equivalents 21 200 9 000
Total assets 812 700 403 000

Capital account
Adul 360 000
Basha 360 000
Carl 371 100
Current account
Adul 22 000
Basha (5 600)
736 400 371 100
Trade payables 76 300 31 900
Total equity and liabilities 812 700 403 000

1 Profit for the year ended 31 December 2020 was:

$
Adul and Basha 64 000
Carl 21 160

2 The goodwill for the partnership had been valued at $50 000. The goodwill value for Carl’s
business was to be the average profit for the last three years. Carl’s profit had increased by
15% each year for the last three years.

© UCLES 2021 9706/33/INSERT/M/J/21

3 All assets and liabilities were valued at their net book value except:

Adul and Basha Carl

$ $
Office equipment 580 000 230 000
Motor vehicles 88 000 62 000
Trade receivables 35 000

4 There was no partnership agreement between Adul and Basha. After the merger, it was
agreed that the profit and loss sharing ratio among Adul, Basha and Carl would be 2 : 2 : 1.

5 All the partners agreed that the combined goodwill would not be maintained in the books of
account of the new partnership.

6 Two motor vehicles had an equal value in the business of Adul and Basha. Immediately after
the merger, Adul would take one of the motor vehicles for his own use.

(b) Calculate the goodwill of Carl’s business. [2]

(d) Prepare a statement showing the movement in the capital account for each of Adul, Basha
and Carl immediately after the merger. [6]

(e) Calculate the value of the total assets of the new business immediately after the merger.
Show your workings. [6]

Additional information

Better profitability of the business of Adul and Basha is one of the reasons for Carl’s decision to
merge.

(f) Advise Carl whether or not he has made the correct decision to merge with the partnership
business. Justify your answer using both financial and non-financial factors. [5]

[Total: 25]

© UCLES 2021 9706/33/INSERT/M/J/21 [Turn over

Section A: Financial Accounting

Question 1

Source A1

JH Limited is a manufacturing business producing a single product. The transfer price of finished
goods to the income statement is cost plus a fixed percentage for factory profit. This percentage has
remained unchanged for many years.

The following information is available for the year ended 31 October 2017.
$
Prime cost 252 000
Work in progress
at 1 November 2016 28 000
at 31 October 2017 32 000
Inventory of finished goods at transfer price
at 1 November 2016 108 000
at 31 October 2017 96 000
Revenue 1 860 000
Factory overheads 461 000
Distribution costs 216 000
Administrative expenses 412 000
Finance charges 28 000
Provision for unrealised profit
at 1 November 2016 18 000

The following information is also available.

1 Included in the distribution costs are:

$
Carriage inwards 18 000
Carriage outwards 34 000

2 Administrative expenses include an amount for buildings insurance of $60 000.

The following items relating to building insurance have not been adjusted:

an outstanding unpaid invoice of $3000 for the year ended 31 October 2017

a payment in advance of $1000 brought forward from the year ended 31 October 2016

the allocation of 75% of the total amount to the factory.

© UCLES 2018 9706/31/INSERT/M/J/18

Answer the following questions in the Question Paper. Questions are printed here for
reference only.

(a) Explain why a manufacturing business might prepare a manufacturing account as part of its
financial statements. [4]

(b) Prepare the manufacturing account for the year ended 31 October 2017 in as much detail as
possible. [5]

Additional information

The selling price of one unit is based on the transfer price from the factory plus a mark-up.

Bob, the financial director of JH Limited, has been notified that their main competitor has
increased prices. He wishes to increase the fixed percentage of the transfer price by 5%. The
other directors are concerned that this will affect profit.

(d) Advise the directors whether or not they should increase the transfer price. Justify your
answer using any relevant calculations.
[7]

[Total: 25]

© UCLES 2018 9706/31/INSERT/M/J/18 [Turn over

Section A: Financial Accounting

Question 1

Source A1

L plc is a manufacturing business. The total prime cost for the year ended 31 December 2017 was
$350 000.

The following selected balances were extracted from the company’s books of account at
31 December 2018.

$000
Indirect wages 100
General expenses 64
Power 36
Factory plant
Cost 600
Accumulated depreciation at 1 January 2018 150
Inventory
Work in progress at 1 January 2018 23

The following information is available at 31 December 2018.

1 The prime cost for the year was 10% greater than the previous year.

2 Indirect wages are to be apportioned between the factory and office in the ratio 2 : 3 respectively.

3 General expenses of $6000 were prepaid. General expenses are to be apportioned equally
between the factory and the office.

4 A power bill of $4000 remained unpaid. 60% of the total power expense is charged to the factory.

5 The value of work in progress was $31 000.

The following information is also available for the year ended 31 December 2018.

1 A new item of factory plant was acquired on 31 October 2018 at a cost of $30 000. This
transaction has not been recorded in the books of account.

Factory plant is depreciated at 25% per annum using the reducing balance method. A full year’s
depreciation is charged on assets acquired during the year.

2 Goods are transferred to the sales department at a mark-up of 20%.

Answer the following questions in the Question Paper. Questions are printed here for
reference only.

(a) Explain what is meant by:

(i) prime cost [2]

(ii) work in progress. [2]

(b) Prepare the manufacturing account for the year ended 31 December 2018. [13]

© UCLES 2019 9706/32/INSERT/M/J/19

Additional information

After the draft statement of financial position had been prepared it was noted that the inventory
value of finished goods was $33 000. This was the value at which these goods had been
transferred from the manufacturing account.

(c) Discuss whether the inventory should have been included at this value. Justify your answer
by referring to relevant accounting concepts and appropriate calculations. [8]

[Total: 25]

© UCLES 2019 9706/32/INSERT/M/J/19 [Turn over

Question 2

Source A2

AD Limited sells watches and clocks. Watches are manufactured by the company and clocks are
bought from a local manufacturer.

The following balances were extracted from the books of AD Limited at 31 December 2019.

$
Sales revenue
watches 628 000
clocks 332 000
Purchases
raw materials 132 700
clocks 252 600
Plant and machinery (at cost) 320 000
Office equipment (at cost) 210 000
Accumulated depreciation at 1 January 2019
plant and machinery 184 000
office equipment 94 000
Inventory at 1 January 2019
watches finished goods (cost) 40 000
watches work in progress 9 000
raw materials 12 500
clocks 28 400
Direct wages 168 000
Manufacturing overheads 63 500
Rent and rates 68 000
Administrative expenses 94 000

The following information is also available.

1 Manufactured watches are transferred to the trading account at production cost plus a mark-up of
20%.

2 Inventory at 31 December 2019 is as follows:

$
watches finished goods (at transfer price) 54 000
watches work in progress 9 700
raw materials 13 400
clocks 29 600

3 Prepaid rent and rates at 31 December 2019 were $4000.

4 Rent and rates are allocated between manufacturing and administrative expenses in the ratio of
3 : 2.

5 Depreciation is provided as follows:

plant and machinery 25% per annum using the reducing balance method
office equipment 15% per annum using the straight-line method

© UCLES 2020 9706/33/INSERT/M/J/20

Answer the following questions in the Question Paper. Questions are printed here for reference
only.

(a) State:

(i) the meaning of the term ‘work in progress’. [1]

(ii) how work in progress is valued. [2]

(b) Prepare the manufacturing account (for watches) for the year ended 31 December 2019. [7]

(d) Prepare an extract from the income statement for the year ended 31 December 2019, showing
the gross profit, the manufacturing profit and the adjustment of the provision for unrealised
profit. [3]

(e) Explain the accounting treatment in the income statement and the statement of financial
position of the provision for unrealised profit. Support your answer with reference to the
accounting concepts. [5]

Additional information

The directors are considering whether they should stop selling watches and sell only clocks in the
future.

(f) Advise the directors whether they should sell only clocks in the future. Justify your answer
with reference to your calculations in (c) and (d). [5]

[Total: 25]

© UCLES 2020 9706/33/INSERT/M/J/20 [Turn over

Section A: Financial Accounting

Question 1

Source A1

G Limited manufactures luxury sofas. In 2020, it also started trading in standard sofas which are
purchased from local suppliers.

The following balances were extracted from the books of G Limited at 31 December 2020.

$
Revenue from luxury sofas 944 000
Revenue from standard sofas 175 000
Purchases of raw materials 292 000
Purchases of standard sofas 158 600
Direct wages 200 200
Indirect manufacturing expenses 108 000
Administrative expenses 206 000
Selling and distribution costs 123 000
Machinery
cost 325 000
accumulated depreciation at 1 January 2020 155 000
Inventories at 1 January 2020
Raw materials 66 000
Work in progress 42 600
Finished goods – luxury sofas (at transfer price) 126 000

The following information is also available.

1 The mark-up on cost of production for 2019 was 20%. It was increased to 25% in 2020.

2 Inventories at 31 December 2020:

$
Raw materials 72 000
Work in progress 54 000
Finished goods
luxury sofas (at transfer price) 150 000
standard sofas 16 000

3 The selling and distribution costs included:

$
Transportation of raw materials 7800
Installation of new machinery 5000

4 Factory rent, $48 000, had been included in the administrative expenses.

5 Machinery is to be depreciated at an annual rate of 20% using the reducing balance method.

© UCLES 2021 9706/33/INSERT/M/J/21

Answer the following questions in the question paper. Questions are printed here for reference
only.

(a) Prepare the manufacturing account for the year ended 31 December 2020. [8]

(b) Prepare the provision for unrealised profit account for the year ended 31 December 2020. [3]

(c) Explain the treatment of unrealised profit in G Limited’s statement of financial position at
31 December 2020. Your answer should refer to relevant accounting concepts. [5]

(d) Prepare the trading section of the income statement for the year ended 31 December 2020
showing separately the gross profit from each of luxury sofas and standard sofas. [4]

Additional information

The directors have the opportunity in 2021 of buying in the luxury sofas which would sell at a
gross profit margin of 20%. They are considering two options:

Option 1 continue manufacturing luxury sofas without buying in

Option 2 cease production and buy in luxury sofas for resale

(e) Advise the directors which option to choose. Justify your answer and support the answer with
calculations. [5]

[Total: 25]

© UCLES 2021 9706/33/INSERT/M/J/21 [Turn over

Section A: Financial Accounting

Question 1

Source A1

Marco manufactures garden chairs. He transfers all finished goods from the factory at cost plus 25%.

The following selected balances are available for the year ended 31 January 2018:

$000
Carriage inwards 12
Carriage outwards 24
Heating and lighting 70
Inventories at 1 February 2017
Raw materials 40
Work in progress 60
Finished goods at transfer price 132
Machinery
Cost 640
Accumulated depreciation 200
Office equipment at cost 110
Office salaries 190
Purchase of raw materials 568
Rent and rates 133
Returns inwards 5
Returns outwards 23
Revenue 1 920
Wages 520

The following additional information is available.

1 Inventories at 31 January 2018 were:

$
Raw materials 42 000
Work in progress 80 000
Finished goods at transfer price 150 000

2 Depreciation is to be charged as follows:

machinery 15% per annum using the reducing balance method

office equipment 5% per annum using the straight-line method.

3 Rent and rates have not been adjusted for $7000 owing at 1 February 2017 and $6000 paid
in advance at 31 January 2018. Rent and rates are apportioned 60% to the factory and 40%
to administration.

4 Heating and lighting are apportioned 80% to the factory and 20% to administration.

5 At 31 January 2018 wages due but unpaid were $10 000. Wages are apportioned 50% direct
factory wages, 30% indirect factory wages and 20% administrative wages.

© UCLES 2018 9706/32/INSERT/F/M/18

Answer the following questions in the Question Paper. Questions are printed here for
reference only.

(a) Prepare the manufacturing account for Marco for the year ended 31 January 2018. [12]

(b) Prepare an extract from the statement of financial position at 31 January 2018 to show how
inventories are recorded. [3]

(d) (i) Explain why it is important for Marco to create a provision for unrealised profit. [4]

(ii) Analyse the effect on profit if Marco does not create a provision for unrealised profit. [4]

[Total: 25]

© UCLES 2018 9706/32/INSERT/F/M/18 [Turn over

Section A: Financial Accounting

Question 1

Source A1

T plc is a manufacturing business. It accounts for factory profit at a rate which has not changed for
some years. The following summarised information is available from its statements of financial
position at 31 December 2018 and 31 December 2017.

2018 2017
$ $
Non-current assets (at net book value)
Factory equipment 100 800 112 000
Office equipment 20 400 23 600
Delivery vehicles 21 000 28 000
142 200 163 600
Current assets
Inventory
raw materials 21 000 11 000
work in progress 2 600 2 800
finished goods 12 500 10 000
provision for unrealised profit (2 500) (2 000)
33 600 21 800
Trade receivables 19 700 16 500
Cash and cash equivalents 8 300 2 800
61 600 41 100
Total assets 203 800 204 700

Ordinary share capital 150 000 150 000

Retained earnings 29 200 36 300
179 200 186 300
Current liabilities
Trade payables 24 600 18 400
Total equity and liabilities 203 800 204 700

The following additional information is also available for the year ended 31 December 2018.

1 The change in retained earnings comes from the profit for the year and a dividend paid of
$25 000.

2 There were no acquisitions or disposals of non-current assets.

3 Purchases of raw materials and production labour amounted to $246 000 and $195 500
respectively.

4 Distribution costs (excluding depreciation) amounted to $51 000 and administrative expenses
(excluding depreciation) amounted to $81 000.

5 Factory overheads included $26 000 for factory rent and $31 100 for factory supervisory salaries.

Answer the following questions in the Question Paper. Questions are printed here for
reference only.

(a) Prepare the manufacturing account for the year ended 31 December 2018. [8]

© UCLES 2019 9706/33/INSERT/O/N/19

(b) Prepare the income statement for the year ended 31 December 2018. [10]

Additional information

The directors have been increasing the inventory of raw materials because of fears that the price
of raw materials will increase considerably in the future.

(c) Discuss the factors the directors should consider in deciding whether to increase the
inventory of raw materials. [5]

(d) Explain why prime cost varies when production levels vary. [2]

[Total: 25]

© UCLES 2019 9706/33/INSERT/O/N/19 [Turn over

Section A: Financial Accounting

Question 1

Source A1

FG Limited is a manufacturing business. The rate at which it accounts for factory profit has not changed
for some years. Inventory is valued at transfer price.

The company’s accountant produced draft financial statements for the year ended 31 December 2019
as follows.

Draft manufacturing account for the year ended 31 December 2019

$
Cost of raw materials consumed 31 200
Direct labour 52 800
Prime cost 84 000
Overheads 54 900
Change in work in progress 1 100
Production cost of manufactured goods 140 000
Factory profit 28 000
Transfer price 168 000

Draft income statement for the year ended 31 December 2019

$ $
Revenue 320 800
Inventory 1 January 2019 36 000
Transfer price 168 000
204 000
Inventory 31 December 2019 30 000
Cost of sales 174 000
Gross profit 146 800
Factory profit 28 000
Change in provision for unrealised profit 1 000
Distribution costs 42 700
Administrative expenses 78 900 121 600
Draft profit for the year 54 200

© UCLES 2020 9706/32/INSERT/O/N/20

Answer the following questions in the question paper. Questions are printed here for
reference only.

(a) Explain two reasons why a factory profit is added in an income statement. [4]

Additional information

After the preparation of the draft financial statements the following errors were discovered.

1 The rent expense, $60 000, should have been split 70% factory, 10% distribution centre and
20% offices. In error it had been split 50% factory, 10% distribution centre and 40% offices.

2 An item of factory machinery, cost $50 000, had been bought on 1 January 2019. This had
been recorded in error as office equipment. Factory machinery is depreciated at the rate of
20% per annum and office equipment at 10% per annum.

3 An error had occurred in counting the inventory of finished goods at the year end. The value
in the draft financial statements was based on an inventory of 5000 units but in fact there
were only 4000 units.

(b) Calculate for the year ended 31 December 2019:

(i) the correct value for the production cost of manufactured goods [3]

(ii) the correct value of factory profit. [1]

(c) Prepare for the year ended 31 December 2019:

(i) the corrected provision for unrealised profit account [3]

(ii) the corrected income statement. [9]

Additional information

One of the directors has suggested that the company should stop accounting for factory profit.

(d) Advise the directors whether or not they should stop accounting for factory profit. Justify your
answer. [5]

[Total: 25]

© UCLES 2020 9706/32/INSERT/O/N/20 [Turn over

Question 3

Source A3

Arthur and Belinda had run a successful partnership for some years. They had shared profits and
losses equally. They decided to retire and VC plc agreed to buy the business on 1 January 2020 for a
purchase consideration of $300 000.

Answer the following questions in the question paper. Questions are printed here for reference
only.

(a) State three reasons why VC plc might want to buy the partnership. [3]

(b) State three ways in which the purchase consideration might be settled. [3]

Additional information

Arthur says that as there were only two partners, he is entitled to receive half of the purchase
consideration.

(c) Advise Belinda whether or not she should agree to Arthur receiving half of the purchase
consideration. Justify your answer. [5]

Additional information

VC plc took over all the assets and liabilities of the partnership except for the bank account. The
assets were revalued for the purposes of the sale.

The book value of the assets and liabilities of the partnership on 1 January 2020, along with the
revalued amounts, were as follows.

Book Revalued
values amounts
$ $
Premises 98 000 168 000
Equipment 61 000 45 000
Vehicles 14 800 14 950
Inventory 31 270 30 000
Trade receivables 19 440 18 500
Trade payables 15 100 15 100

(d) Suggest two reasons for the difference in the values for the equipment. [2]

(e) Calculate:

(i) the value of goodwill recorded in the books of VC plc [3]

(ii) the total profit on realisation made by the partnership. [3]

(f) Explain the treatment of the total profit on realisation made by the partnership in (e)(ii). [2]

(g) Explain why a revaluation reserve may appear in the financial statements of a limited company
but not in the financial statements of a partnership. [4]

[Total: 25]

Question 4

Source A4

Ephraim and Fikriyah are sole traders. They agreed to merge their two businesses into a partnership
on 1 October 2017 sharing profits and losses equally.

Ephraim and Fikriyah’s statements of financial position at 30 September 2017 were as follows:

Ephraim Fikriyah
$ $
Non-current assets 45 000 110 000
Current assets
Inventories 7 500 11 500
Trade receivables 9 000 15 500
Cash and cash equivalents 6 500 1 000
23 000 28 000
Total assets 68 000 138 000

Capital 60 000 120 000

Current liabilities
Trade payables 8 000 18 000
68 000 138 000

The agreed valuations for the merger were:

Ephraim Fikriyah
$ $
Non-current assets 55 000 115 000
Inventories 8 000 10 500
Goodwill 10 000 6 000

All other assets and liabilities were transferred at their book value.

Goodwill was not to be retained in the books of account.

Answer the following questions in the Question Paper. Questions are printed here for
reference only.

(a) Prepare the opening statement of financial position for the partnership at 1 October 2017. [13]

Additional information

The average annual profit earned by Ephraim for the past three years was $60 000.
The average annual profit earned by Fikriyah for the past three years was $40 000.

The budgeted profit for the partnership for its first year’s trading is expected to be $100 000. In
each of the following three years it is expected to be 10% less than the previous year. This is as a
result of the increasing competition.

(b) Discuss the benefits and limitations of the merger to each partner. Justify your answer using
both financial and non-financial factors. [12]

[Total: 25]

Question 2

Source A2

Jenny and Thomas are two sole traders. Their statements of financial position at 31 March 2019 were
as follows:

Jenny Thomas
$ $
Non-current assets 150 000 90 000
Current assets
Inventory 27 500 11 000
Trade receivables 17 500 6 500
Cash and cash equivalents 9 750 3 750
54 750 21 250
Total assets 204 750 111 250

Capital and liabilities

Capital accounts 170 000 100 000
Current liabilities 34 750 11 250
Total capital and liabilities 204 750 111 250

They agreed to merge their two businesses into a partnership with effect from 1 April 2019.

The terms of the merger were as follows:

1 The value of the non-current assets of both sole traders had increased by 10%.

2 Inventory was valued at $27 000 for Jenny and $10 000 for Thomas.

3 Both sole traders expected 5% of their trade receivables to be written off.

4 All other assets and liabilities, except cash and cash equivalents, were transferred to the
partnership at their book value.

Answer the following questions in the Question Paper. Questions are printed here for
reference only.

(a) Prepare the revised capital accounts of each sole trader at 31 March 2019 to show the
transfer to the partnership. [8]

Additional information

The new partnership commenced on 1 April 2019 with total opening capital of $360 000 in the
ratio of Jenny 2, Thomas 1. Each partner introduced cash to achieve this.

(b) Calculate the amounts of additional cash that each partner introduced. [2]

Additional information

The partners agreed to take equal salaries of $10 000 per annum. The residual profits were to be
shared in the ratio of 2:1 respectively.

It is expected that the profit before appropriation for the first year’s trading will give a return of
13.5% on the total opening capital balances.

The average profit of Jenny over the last three years as a sole trader was $35 000 per annum.

(d) (i) Calculate Jenny’s total share of the expected profit for the first year of trading. [3]

(ii) State one advantage and one disadvantage to Jenny of forming the partnership. [2]

Additional information

The partners are considering computerising their accounting system.

(e) State two advantages and two disadvantages to a business of using a computerised
accounting system. [4]

[Total: 25]

Question 3

Source A3

Jack and Paul were two sole traders. They decided to merge their businesses and form a partnership
on 1 July 2018. Their statements of financial position at 30 June 2018 were as follows.

Jack Paul
$ $
Non-current assets
Plant and equipment 118 000 103 700

Current assets
Inventory 36 000 47 000
Trade receivables 31 500 29 500
Bank 6 200 3 400
73 700 79 900
Current liabilities
Trade payables 27 700 33 100

Net assets 164 000 150 500

Capital 1 July 2017 160 000 150 000

Profit for the year 44 000 20 500
Drawings (40 000) (20 000)
164 000 150 500

The following was agreed for the purpose of the merger.

1 The value of each business was: Jack $195 000; Paul $152 000.

2 Jack’s plant and equipment would be revalued at $128 000.

3 Paul’s inventory would be revalued at $40 000.

4 Paul’s trade receivables would be reduced by 2% for making allowance for doubtful debts.

All other assets and liabilities would be transferred at the book value.

Answer the following questions in the Question Paper. Questions are printed here for
reference only.

(a) Calculate the value of total goodwill arising from the terms of the merger. [3]

Additional information

The following were the terms of the partnership.

1 Initial capital contributed by Jack and Paul would be $200 000 and $160 000 respectively, to
be settled by net assets transferred and cash.

2 The profit and loss sharing ratio between Jack and Paul will be 3 : 2.

3 Goodwill arising from the merger is to be written off against each partner’s capital account
immediately after the merger.

(b) Prepare the statement of financial position for the partnership at 1 July 2018. [10]

Additional information

The partners also agreed to the following terms of the partnership.

1 Partners’ salaries will be $24 000 each.

2 Each partner will take their salary and share of profit as drawings.

The profit for the year ended 30 June 2019, before appropriation, was $66 000.

(d) Calculate, to two decimal places, the return on capital employed (ROCE) for the year ended
30 June 2019. [2]

(e) Evaluate whether or not Jack and Paul have benefited financially from merging their
businesses. Justify your answer. [5]

[Total: 25]

Question 4

Source A4

A Social Club provides activities for the elderly. It also provides them with meals and organises coach
trips.

The ledger accounts of the club for the year ended 31 December 2017 included the following:

Subscription account

Details $ Details $

Balance b/d 400 Balance b/d 100

Income and expenditure
26 300 Bank 25 800
account
Balance c/d 50 Irrecoverable debts 250

Balance c/d 600

26 750 26 750

Fixtures and fittings account

Details $ Details $

Balance b/d 12 000 Balance c/d 15 300

Bank 3 300

15 300 15 300

Provision for depreciation of fixtures and fittings account

Details $ Details $

Balance c/d 3 930 Balance b/d 2 400

Income and expenditure 1 530
account
3 930 3 930

The following information was also available.

1 The club owned its own premises which had an original cost of $100 000. These were not
depreciated.

2 On 1 January 2017 the bank account had a debit balance of $4700 and the accumulated
fund amounted to $114 850.

3 The sale of meals to members during the year amounted to $21 500 and made a profit of
$2600. Inventory of food remained constant at $250. No purchases of food were made on a
credit basis. All receipts and payments for meals were made through the bank account.

4 The club organised two coach trips every month. For each trip it hired a 50-seater coach
(with driver) at a cost of $1000. During 2017 the club sold 620 coach trip tickets for $25 each.

All receipts and payments for trips were made through the bank account.

5 Other running costs paid during the year totalled $18 100. These included staff costs.

6 Staff costs of $200 were accrued at the end of the year.

Answer the following questions in the Question Paper. Questions are printed here for
reference only.

(a) State two differences between a club and a limited company. [4]

(b) Prepare the income and expenditure account for the year ended 31 December 2017. [7]

(c) Prepare the statement of financial position at 31 December 2017. [10]

Additional information

The management committee of the club is considering increasing the price of the coach trip
tickets to members.

(d) Advise the management committee whether or not it should increase the price of the coach
trip tickets. Justify your answer. [4]

[Total: 25]

Section A: Financial Accounting

Question 1

Source A1

ZV Sports Club provides sports facilities and also sells refreshments to members. It has a membership
list with details of 200 members. The annual subscription is $100. The club has a financial year end of
31 December.

Before preparing the financial statements for the year ended 31 December 2020 the subscriptions
account appeared as follows.

Subscriptions account
$ $
Balance b/d 2 100 Balance b/d 300
Bank 19 700

At 31 December 2020 there were 5 members who had paid in advance for 2021. Details of members
whose subscriptions were in arrears at that date were as follows.

2 members had not paid for 2020 only.

6 members had not paid for 2019 and 2020.

3 members had not paid for 2017, 2018, 2019 and 2020.

During the year ended 31 December 2020 the managing committee of the club had decided that in
future it would only carry forward unpaid subscriptions for the year just ended.
Unpaid subscriptions for earlier years would be written off.

Answer the following questions in the question paper. Questions are printed here for reference
only.

(a) Prepare the complete subscriptions account for the year ended 31 December 2020. [7]

Additional information

For the year ended 31 December 2020

$
Profit on sale of refreshments 6 200
Purchase of equipment 10 120
Depreciation on equipment 4 050
Proceeds from sale of equipment 8 440
Profit on disposal of equipment 510
Staff costs 18 310
Other costs 3 100

(b) Prepare the income and expenditure account for the year ended 31 December 2020. [7]

(c) Advise the managing committee whether or not the new policy on unpaid subscriptions should be
continued. Justify your answer. [5]

Additional information

Inventory of refreshments was $600 at 1 January 2020 and $750 at 31 December 2020.

Amounts paid during the year to suppliers of refreshments totalled $16 000.

Amounts owing to suppliers of refreshments were $1100 at 1 January 2020 and $920 at
31 December 2020.

(d) Prepare the refreshments trading account for the year ended 31 December 2020, showing sales
as the balancing figure. [4]

(e) State two reasons why a club or society might engage in a trading activity. [2]

[Total: 25]

Section A: Financial Accounting

Question 1

Source A1

MN Drama Club was formed in 2017 with the objective of promoting modern performances. The
treasurer of the club resigned on 31 December 2021. The chairman prepared a draft income and
expenditure account which was based on the receipts and payments account.

Draft Income and Expenditure account for the year ended 31 December 2021

$ $
Subscriptions 40 400
Tuition fees 8 000
Ticket income from performances 14 200
Donation 7 500
70 100
Expenses for performances 11 500
Office equipment (first payment) 2 000
Administrative expenses 30 100
Heating and lighting 13 200
Building extension 16 000
Building maintenance 4 600
77 400
Deficit for the year (7 300)

The draft income and expenditure account had been presented to a member of the club who is an
accountant.

Further information was available.

1 There is a great demand for after-school tutorial classes in the local community. In October 2021
the club started running after-school tutorial classes. The club targeted the classes at children
from poor families. A maximum of 20 children could join these classes. Children were required to
join as student members of the club and pay the following fees in advance:

i student membership fee of $100, which is one-third of an ordinary member’s subscription

ii a tuition fee of $400 covering the period from 1 October 2021 to 31 May 2022.

Student membership fees paid by children are included in subscriptions in the draft income and
expenditure account.

The tuition fee is refundable on a monthly basis if the student withdraws. The student membership
fee is non-refundable.

The tutors are volunteers and have experience in teaching.

The classes were popular and were fully booked.

2 Information relating to ordinary members’ subscriptions at 31 December 2021 and at 31 December

2020 is as follows:

31 December 31 December
2021 2020
Number of members paid in advance 0 9
Number of members in arrears 24 4

3 Information relating to non-current assets:

Building Equipment
$ $
Cost at 31 December 2020 200 000 120 000
Accumulated depreciation at 31 December 2020 110 000 85 000
Depreciation method Straight-line Reducing balance
Annual rate 10% 20%

A full year’s depreciation is charged in the year of purchase of the asset.

An item of office equipment was purchased on credit during the year. The debt was repayable in
three equal instalments at intervals of four months, with the first payment made in October 2021.

4 During the year a member donated $7500 which is to be used to sponsor the club’s participation
in a national event for the coming five years.

5 Other prepaid and accrued expenses at 31 December 2021 and at 31 December 2020 are as
follows:

31 December 31 December
2021 2020
$ $
Accrued
Administrative expenses 9000 6200
Heating and lighting – 1500

Prepaid
Heating and lighting 700 –

6 Cash at bank at 31 December 2021 amounted to $6400.

Answer the following questions in the question paper. Questions are printed here for reference
only.

(a) State two reasons why a club needs to have a clear objective. [2]

(b) Explain how the tuition fees of $8000 should be treated in the revised financial statements of
MN Drama Club. Support your answer with reference to the relevant accounting concept. [4]

Additional information

The chairman has received many requests from local parents for the tutorial classes because the
fee charged by the club is 50% lower than other organisations. He has a plan to admit 60 students
in October 2022. To increase the capacity, he estimates that an expenditure of $30 000 would be
incurred in an extension of the club’s building.

(d) Advise the chairman whether or not he should carry out the plan. Justify your answer. [7]
[Total: 25]
© UCLES 2022 9706/32/INSERT/M/J/22 [Turn over
2

Section A: Financial Accounting

Question 1

Source A1

MC Sports Club provides sport facilities, operates a café for its members and hires out its meeting
room.

The treasurer of the club provided some of the financial details for the year ended 31 December 2021
as follows:

1 Balance at 1 January 2021

$
Equipment (net book value) 78 000
Inventory of café 9 500
Amount owed to café suppliers 11 400
Deposit paid to a hotel for annual dinner 4 000
Receipt for the hire of club’s meeting room in May 2021 2 100

2 Annual subscription of each member is $200. New members admitted in the first half of the year
have to pay the annual subscription in full. New members admitted in the second half of the year
have to pay 50% of the annual subscription. Details of the number of members for the year ended
31 December 2021 were as follows:

Members at New members admitted New members admitted

1 January 2021 before 1 July 2021 after 1 July 2021
420 18 24

The number of members whose subscriptions were in advance or in arrears were as follows:

At 1 January 2021 At 31 December 2021

In advance 8 11
In arrears 15 20

All these subscriptions refer to full subscriptions.

3 All café sales are for cash, at a mark-up of 80%.

4 Payments to suppliers of the café for the year were $42 000.
The amount owed to the suppliers at 31 December 2021 was $13 600.
The inventory of the café on that date was valued at $10 200.

5 Other receipts and payments for the year were as follows:

$
Purchase of new equipment 14 000
Club expenses 94 400
Café wages 22 000
Final payment to hotel for annual dinner 16 200
Receipts for the hire of the meeting room 4 600

6 Club equipment is to be depreciated at an annual rate of 15% using the reducing balance method.
A full year’s depreciation is charged in the year of purchase.
© UCLES 2022 9706/33/INSERT/M/J/22
3

Answer the following questions in the question paper. Questions are printed here for reference
only.

(a) State three differences between the financial statements of a not-for-profit organisation and
those of a limited company. [3]

(b) Prepare the café trading account for the year ended 31 December 2021 to find the profit or
loss on its trading activity. [4]

(d) Prepare the income and expenditure account for the year ended 31 December 2021. [6]

Additional information

The club will admit life members from 1 January 2023. A life membership fee of $1 500 will be
payable on the date of admission.

(e) Explain to the treasurer how the club should account for the life membership fees in the club’s
financial statements. [3]

Additional information

The committee of the club is thinking of closing the café. Vending machines would be installed to
provide snacks and drinks for the members.

(f) Advise the committee whether or not the café should be closed. Justify your answer. [5]

[Total: 25]

Question 2

Source A2

Sunshine Social Club is a sports club and has a year-end of 31 December. The club started admitting
life members in 2015. It is the policy of the club that a life membership fee is initially credited to a life
membership fund and recognised in the income and expenditure account over five years equally. Life
membership fees received in the previous five years were as follows:

$
2019 6 500
2018 4 000
2017 4 500
2016 2 000
2015 1 000

Answer the following questions in the question paper. Questions are printed here for reference
only.

(a) Calculate the life membership fund shown in the statement of financial position at
31 December 2019. [3]

Additional information

The treasurer of the club has prepared the receipts and payments account for the year ended
31 December 2020 as follows:

Receipts and payments account

$ $
Balance b/d 3 200 Purchase of club equipment 24 000
Membership subscriptions 73 000 Clubhouse expenses 37 000
Special donation 10 000 Administrative expenses 46 000
Life membership fees 8 000
Sale of club equipment 2 200
Balance c/d 10 600
107 000 107 000

The special donation of $10 000, received during 2020, is designated for the club’s anniversary
activities in 2022. The treasurer is unsure whether this amount should be treated as income for
the year ended 31 December 2020.

(b) State three differences between a receipts and payments account and an income and
expenditure account. [3]

(c) Explain to the treasurer, with reference to the appropriate accounting concepts, the accounting
treatment of the special donation of $10 000 in the financial statements of the club. [5]

Additional information

1 During the year ended 31 December 2020, an item of fully depreciated club equipment, which
had an original cost of $8000, was sold for $2200.

2 It is the club’s policy to depreciate club equipment at an annual rate of 20% using the reducing
balance method. A full year’s depreciation is charged in the year of acquisition.

3 Selected balances at 31 December 2020 and at 31 December 2019 were extracted as

follows:

2020 2019
$ $
Club equipment – cost ? 88 000
Club equipment – accumulated depreciation ? 52 000
Membership subscriptions in advance 1 100 2 700
Membership subscriptions in arrears 1 800 3 800
Administrative expenses paid in advance 0 4 200
Clubhouse expenses accrued 0 2 660
Administrative expenses accrued 650 0

(d) Prepare the income and expenditure account for the year ended 31 December 2020. [8]

Additional information

The chairman of the club decided to transfer $6000 from the accumulated fund to a fund designated
for the anniversary activities on 31 December 2020.

(e) (i) Calculate the accumulated fund at 31 December 2019. [3]

(ii) Prepare a statement showing the movement on the accumulated fund for the year ended
31 December 2020. [3]

[Total: 25]

Section A: Financial Accounting

Question 1
Source A1

A Social Club had the following assets and liabilities at 1 April 2018.
$
Non-current assets 14 500
Bank overdraft 3 600
Trade payables 2 250
Accrued electricity expenses 1 550
Prepaid insurance 300
Inventory 2 200
Subscriptions in arrears 150
Subscriptions in advance 100

Answer the following questions in the Question Paper. Questions are printed here for
reference only.

(a) Explain what is meant by the term ‘accumulated fund’. [2]

(b) Calculate the accumulated fund at 1 April 2018. [3]

Additional information

The annual subscription has been unchanged for the past few years. During the year ended
31 March 2019, a total of $13 900 was received from 278 members who paid their annual
subscription in full. One member, who owed the club for the previous year’s subscription, was
unable to pay and this amount was written off.

At 31 March 2019, six members had not paid their annual subscription and one member had paid
the following year’s subscription in advance.

(d) Prepare an extract from the statement of financial position at 31 March 2019 to show how the
balances on the subscriptions account are recorded. [4]

Additional information

The annual surplus of income over expenditure has fallen steadily in recent years.

The treasurer is considering introducing a life membership scheme to improve this. He believes
that the total life membership should be recorded in full as income in the income and expenditure
account when it is received.

(e) Discuss two ways other than a life membership scheme by which the club could increase the
future annual surplus. [4]

(f) Discuss if the treasurer's proposed accounting treatment for life membership is correct.
Justify your answer by reference to any relevant accounting concept. [4]
[Total: 25]

Question 4

Source A4

X Soc is a charitable not for profit organisation. It is run by a group of volunteers and its aim is to
provide specialist wheelchairs for disabled athletes. It runs a charity shop in the city centre where
people donate unwanted items which are then sold to earn a profit for the organisation. It also receives
cash donations from the public and grants from the national government.

X Soc was formed on 1 January 2020. At the end of the first year of operation the following accounts
were prepared.

X Soc

Charity shop trading account for the year ended 31 December 2020

$ $
Revenue 126 000
Shop rent 18 000
Shop operating costs 17 400
35 400
Profit for the year 90 600

Receipts and payments account for the year ended 31 December 2020

$ $
Grants 80 000 Administrative expenses 14 220
Cash donations 96 520 Advertising and fundraising 27 240
Cash sales 126 000 Purchase of computer 7 000
Payments to wheelchair suppliers 212 660
Shop rent 19 000
Shop operating costs 14 680
Balance c/d 7 720
302 520 302 520

Answer the following questions in the question paper. Questions are printed here for reference
only.

(a) Explain how the trading account of a charity shop is different from that of a business. [4]

Additional information

1 Advertising costs included $7200 for a series of advertisements running from November 2020
to April 2021.

2 On 31 December 2020 deposits paid for wheelchairs ordered but not yet manufactured
amounted to $39 400.

3 Accruals at the year end included $450 for administrative expenses.

4 It was decided that the cost of the computer should be written off in equal instalments over
five years.

(b) Prepare the income and expenditure account for the year ended 31 December 2020. [7]

(c) Prepare the statement of financial position at 31 December 2020. [8]

(d) Suggest two ways in which X Soc could increase its income. [2]

(e) Explain why the accumulated fund of a not for profit organisation may not be equal to the
balance on its bank account. [2]

(f) Explain why the financial statements of some not for profit organisations may contain entries
for subscriptions. [2]

[Total: 25]

Question 2

Source A2

The AB Club has 200 members who pay an annual subscription of $100 each. It provides social facilities
to its members and also rents and operates two vending machines to sell soft drinks to members. The
statement of financial position at 30 June 2020 showed the following assets and liabilities.

$
Equipment at valuation 2100
Furniture at valuation 1050
Subscriptions in arrears 400
Bank balance 1420
Cash 180
Inventory of soft drinks 210
Owing to suppliers of soft drinks 290

The following information was available.

1 Equipment and furniture were valued on 30 June 2021 at $1700 and $1500 respectively.

2 All subscriptions are received by cheque and banked immediately. On 30 June 2021, there were
no arrears of subscriptions and three members had paid in advance for the coming year.

3 All takings from the vending machines are in cash. Some are used to pay club expenses and
some are paid into the bank. Soft drinks are sold at a mark-up of 100%.

4 The inventory of soft drinks on 30 June 2021 was valued at $490 at selling price. On that date, the
amount owing to suppliers of soft drinks was $305.

5 Cash in hand on 30 June 2021 amounted to $150. The balance on the bank account on that date
was $2290.

6 Payments made through the bank during the year ended 30 June 2021 were:

$
Purchase of new furniture 720
Rent of premises 12 000
Rent of vending machines 6 000
Club expenses 5 140
Payments to suppliers of soft drinks 12 600
Total bank payments 36 460

Answer the following questions in the question paper. Questions are printed here for
reference only.

(a) Calculate the profit from the vending machines for the year ended 30 June 2021. [5]

(b) Calculate for the year ended 30 June 2021:

(i) the value of subscriptions received and banked [3]

(ii) cash takings banked [4]

(iii) club expenses paid by cash. [4]

Additional information

It has been suggested to the managing committee that the club starts to rent a third vending
machine selling soft drinks.

(d) Advise the committee whether or not to start renting a third vending machine. Justify your
answer. [3]

[Total: 25]

Question 3

Source A3

Alice and Babak had both been trading as sole traders for some years when they decided to merge
their businesses to form a partnership. The merger took place on 1 January 2020.

The book values of the assets and liabilities of the businesses immediately prior to the merger were as
follows.

Alice Babak
$ $
Premises 18 000 Nil
Equipment 7 400 8 900
Vehicle Nil 5 200
Intangible asset 200 Nil
Inventory 4 100 3 500
Trade receivables 2 600 1 800
Trade payables 1 400 700
Bank (300) 6 100

The terms of the merger were as follows.

1 The profit sharing ratio of the partnership would be Alice 2:Babak 1.

2 Alice’s premises would be revalued at $32 000.

3 Part of Alice’s inventory, valued at $400, would be written off.

4 An impairment loss of $800 on Babak’s vehicle would be accounted for.

5 Alice would transfer her personal vehicle to the business at a valuation of $2000.

6 The bank accounts would be merged and Alice would pay in enough cash that the
value of the capital accounts would be in the profit sharing ratio.

Answer the following questions in the question paper. Questions are printed here for
reference only.

(a) Suggest two items, purchased by a business, which could be included in its intangible assets.
[2]
(b) Prepare, showing the adjustments made during the merger on 1 January 2020,

(i) the capital account of Babak [3]

(ii) the capital account of Alice. [6]

Additional information

Whilst operating as sole traders both Alice and Babak maintained their books of account on a
manual basis. Babak has suggested that the partnership should use a computerised accounting
system.

(d) Advise Alice whether or not she should agree to using a computerised accounting system.
Justify your answer. [5]

[Total: 25]

Chisholm V East Rand Proprietary Mines LTD 1909 TH 297
100% (2)
Chisholm V East Rand Proprietary Mines LTD 1909 TH 297
10 pages
Final Test
No ratings yet
Final Test
85 pages
Ib Economics Study Guide Micro
100% (1)
Ib Economics Study Guide Micro
48 pages
IKEA Case Study
100% (1)
IKEA Case Study
25 pages
Cambridge International AS & A Level: ACCOUNTING 9706/32
No ratings yet
Cambridge International AS & A Level: ACCOUNTING 9706/32
12 pages
Cambridge International AS & A Level: ACCOUNTING 9706/31
No ratings yet
Cambridge International AS & A Level: ACCOUNTING 9706/31
12 pages
UGB 223 Alternative Exam Assignment Questions
No ratings yet
UGB 223 Alternative Exam Assignment Questions
8 pages
Cambridge International AS & A Level: ACCOUNTING 9706/31
No ratings yet
Cambridge International AS & A Level: ACCOUNTING 9706/31
16 pages
Cambridge International Advanced Subsidiary and Advanced Level
No ratings yet
Cambridge International Advanced Subsidiary and Advanced Level
16 pages
Cambridge International AS & A Level: ACCOUNTING 9706/31
No ratings yet
Cambridge International AS & A Level: ACCOUNTING 9706/31
12 pages
2019 ACFI3310 May Exam Answers
No ratings yet
2019 ACFI3310 May Exam Answers
18 pages
9706 w19 QP 31
No ratings yet
9706 w19 QP 31
13 pages
Cambridge International Advanced Subsidiary and Advanced Level
No ratings yet
Cambridge International Advanced Subsidiary and Advanced Level
12 pages
University of Cambridge International Examinations General Certificate of Education Advanced Level
No ratings yet
University of Cambridge International Examinations General Certificate of Education Advanced Level
12 pages
Cambridge International AS & A Level: ACCOUNTING 9706/32
No ratings yet
Cambridge International AS & A Level: ACCOUNTING 9706/32
8 pages
Cambridge International AS & A Level: ACCOUNTING 9706/33
No ratings yet
Cambridge International AS & A Level: ACCOUNTING 9706/33
16 pages
9706 w04 QP 3
No ratings yet
9706 w04 QP 3
12 pages
2006 - Oct - Nov - Paper - 3
No ratings yet
2006 - Oct - Nov - Paper - 3
12 pages
Fin 2002
No ratings yet
Fin 2002
8 pages
1-International Accounting Standards Worksheet 5 A Level Accounting 9706 Topicals
No ratings yet
1-International Accounting Standards Worksheet 5 A Level Accounting 9706 Topicals
15 pages
Cambridge International Advanced Subsidiary and Advanced Level
No ratings yet
Cambridge International Advanced Subsidiary and Advanced Level
13 pages
University of Cambridge International Examinations General Certificate of Education Advanced Level
No ratings yet
University of Cambridge International Examinations General Certificate of Education Advanced Level
12 pages
2005 - Oct - Nov - Paper - 3
No ratings yet
2005 - Oct - Nov - Paper - 3
12 pages
University of Cambridge International Examinations General Certificate of Education Advanced Level
No ratings yet
University of Cambridge International Examinations General Certificate of Education Advanced Level
12 pages
Cambridge International Advanced Subsidiary and Advanced Level
No ratings yet
Cambridge International Advanced Subsidiary and Advanced Level
12 pages
University of Cambridge International Examinations General Certificate of Education Advanced Subsidiary Level and Advanced Level
No ratings yet
University of Cambridge International Examinations General Certificate of Education Advanced Subsidiary Level and Advanced Level
12 pages
2007 - Oct - Nov - Paper - 3
No ratings yet
2007 - Oct - Nov - Paper - 3
12 pages
University of Cambridge International Examinations General Certificate of Education Advanced Level
No ratings yet
University of Cambridge International Examinations General Certificate of Education Advanced Level
12 pages
A Level QP3 Acc PB2022
No ratings yet
A Level QP3 Acc PB2022
12 pages
Mock+exam+paper 2024 Incl+solutions
No ratings yet
Mock+exam+paper 2024 Incl+solutions
16 pages
Corporate Finance - L6 - Sit TCP - 2020-21
No ratings yet
Corporate Finance - L6 - Sit TCP - 2020-21
11 pages
9706 s05 QP 3
No ratings yet
9706 s05 QP 3
12 pages
AS2207 2022 May QP Fin
No ratings yet
AS2207 2022 May QP Fin
8 pages
Cambridge International AS & A Level: Accounting 9706/32
No ratings yet
Cambridge International AS & A Level: Accounting 9706/32
12 pages
MCQ Company and Ratios
No ratings yet
MCQ Company and Ratios
27 pages
A Level Accounting 31 Nov2011
No ratings yet
A Level Accounting 31 Nov2011
12 pages
BSFB202 2018 06
No ratings yet
BSFB202 2018 06
5 pages
Dec 2005 - Qns Mod B
100% (1)
Dec 2005 - Qns Mod B
12 pages
Cambridge International AS & A Level: Accounting 9706/33
No ratings yet
Cambridge International AS & A Level: Accounting 9706/33
12 pages
University of Cambridge International Examinations General Certificate of Education Advanced Level Accounting Paper 3 Multiple Choice October/November 2006 1 Hour
No ratings yet
University of Cambridge International Examinations General Certificate of Education Advanced Level Accounting Paper 3 Multiple Choice October/November 2006 1 Hour
12 pages
Cambridge International Advanced Subsidiary and Advanced Level
No ratings yet
Cambridge International Advanced Subsidiary and Advanced Level
12 pages
University of Cambridge International Examinations General Certificate of Education Advanced Level Accounting Paper 3 Multiple Choice May/June 2004 1 Hour
No ratings yet
University of Cambridge International Examinations General Certificate of Education Advanced Level Accounting Paper 3 Multiple Choice May/June 2004 1 Hour
12 pages
Accounting: University of Cambridge International Examinations General Certificate of Education Advanced Level
No ratings yet
Accounting: University of Cambridge International Examinations General Certificate of Education Advanced Level
12 pages
P64571RA Lcci Level 4 Certificate in Financial Accounting ASE20101 RB Sep 2020
No ratings yet
P64571RA Lcci Level 4 Certificate in Financial Accounting ASE20101 RB Sep 2020
8 pages
University of Cambridge International Examinations General Certificate of Education Advanced Level
No ratings yet
University of Cambridge International Examinations General Certificate of Education Advanced Level
12 pages
University of Cambridge International Examinations General Certificate of Education Advanced Level
No ratings yet
University of Cambridge International Examinations General Certificate of Education Advanced Level
12 pages
BFC5925 S2 2024 Final Exam Practice Questions and Solutions
No ratings yet
BFC5925 S2 2024 Final Exam Practice Questions and Solutions
10 pages
M08EFA Worksheet Nine Home
No ratings yet
M08EFA Worksheet Nine Home
2 pages
2223 1 Sehs4650
No ratings yet
2223 1 Sehs4650
4 pages
Certificate in Advanced Business Calculations Level 3/series 3-2009
100% (10)
Certificate in Advanced Business Calculations Level 3/series 3-2009
18 pages
University of Cambridge International Examinations General Certificate of Education Advanced Level
No ratings yet
University of Cambridge International Examinations General Certificate of Education Advanced Level
12 pages
University of Cambridge International Examinations General Certificate of Education Advanced Level
No ratings yet
University of Cambridge International Examinations General Certificate of Education Advanced Level
12 pages
Cambridge International AS & A Level: ACCOUNTING 9706/32
No ratings yet
Cambridge International AS & A Level: ACCOUNTING 9706/32
12 pages
Cambridge International Advanced Subsidiary and Advanced Level
No ratings yet
Cambridge International Advanced Subsidiary and Advanced Level
12 pages
Paper 3.3 QQ N
No ratings yet
Paper 3.3 QQ N
12 pages
9706 32 Insert
No ratings yet
9706 32 Insert
7 pages
Essay Question:: UNAPPROPRIATED RETAINED EARNINGS Represent That Portion Which Is Free and Can Be
No ratings yet
Essay Question:: UNAPPROPRIATED RETAINED EARNINGS Represent That Portion Which Is Free and Can Be
11 pages
University of Cambridge International Examinations General Certificate of Education Advanced Level
No ratings yet
University of Cambridge International Examinations General Certificate of Education Advanced Level
12 pages
University of Cambridge International Examinations General Certificate of Education Advanced Level
No ratings yet
University of Cambridge International Examinations General Certificate of Education Advanced Level
12 pages
University of Cambridge International Examinations General Certificate of Education Advanced Level
No ratings yet
University of Cambridge International Examinations General Certificate of Education Advanced Level
12 pages
Cambridge International AS & A Level: Accounting 9706/11
No ratings yet
Cambridge International AS & A Level: Accounting 9706/11
12 pages
Getting Started in Alternative Investments
From Everand
Getting Started in Alternative Investments
Matthew Dearth
No ratings yet
Private Debt: Yield, Safety and the Emergence of Alternative Lending
From Everand
Private Debt: Yield, Safety and the Emergence of Alternative Lending
Stephen L. Nesbitt
No ratings yet
Capital Structure
0% (2)
Capital Structure
9 pages
Tugas 2 - Ansal
No ratings yet
Tugas 2 - Ansal
5 pages
RIGS - Laporan Keuangan 31 Desember 2022
No ratings yet
RIGS - Laporan Keuangan 31 Desember 2022
58 pages
RenderPayslip PDF
No ratings yet
RenderPayslip PDF
1 page
Cashflow (Revision) - Practice QA
No ratings yet
Cashflow (Revision) - Practice QA
6 pages
Financial Reporting M20: Tutorial
No ratings yet
Financial Reporting M20: Tutorial
37 pages
M.rifli P5.3 Akuntansi Pengantar
No ratings yet
M.rifli P5.3 Akuntansi Pengantar
5 pages
What Are Profitability Ratios
No ratings yet
What Are Profitability Ratios
15 pages
Practice Cash Flow Problem
No ratings yet
Practice Cash Flow Problem
3 pages
Afar 106 - Home Office and Branch Accounting PDF
No ratings yet
Afar 106 - Home Office and Branch Accounting PDF
3 pages
Accounting For Leases of Aircraft Fleet Assets in The Global Airline Industry
100% (2)
Accounting For Leases of Aircraft Fleet Assets in The Global Airline Industry
20 pages
Individual Assignment 6
No ratings yet
Individual Assignment 6
2 pages
Leasing and Hire Purchase
No ratings yet
Leasing and Hire Purchase
37 pages
LATAM Airlines Group 20F AsFiled
No ratings yet
LATAM Airlines Group 20F AsFiled
394 pages
Caltex v. COA - Digest
100% (1)
Caltex v. COA - Digest
2 pages
Hire Purchase
No ratings yet
Hire Purchase
30 pages
2023 Tax Return PDF
No ratings yet
2023 Tax Return PDF
9 pages
Grade 11 Task 10.6
No ratings yet
Grade 11 Task 10.6
2 pages
Akshay Kapoor - Rev - Synopsis C - S Financial
No ratings yet
Akshay Kapoor - Rev - Synopsis C - S Financial
12 pages
Upload 9
No ratings yet
Upload 9
3 pages
Found-ENG-L6-Basic - Financial - Plan - Template - With Explanation
No ratings yet
Found-ENG-L6-Basic - Financial - Plan - Template - With Explanation
5 pages
Types of Account
No ratings yet
Types of Account
6 pages
1F Income Tax Case Scenario Based MCQs AY 2024 25 250203 075741
No ratings yet
1F Income Tax Case Scenario Based MCQs AY 2024 25 250203 075741
62 pages
Procter Gamble Fall 2015
100% (1)
Procter Gamble Fall 2015
77 pages
The Pocketbook of Economic Indicators PDF
No ratings yet
The Pocketbook of Economic Indicators PDF
40 pages
Project Finance (Smart Task 3)
100% (1)
Project Finance (Smart Task 3)
13 pages
Accounting For Acquisition of PPE
No ratings yet
Accounting For Acquisition of PPE
6 pages