2.1 EQ TRADERS You are provided with information relating to EQ Traders, (owner E. Quinta), a business who sells power generators for home use. Quinta import these generators from a supplier in Germany. The periodic inventory system is in use and a faced seling price is maintained throughout the year. He uses the FIFO method of valuating stock. REQUIRED 2.1.1 Explain TWO ditferences in recording purchases of trading stock between the perpetual stock system and the periodic stock system. 2.1.2 Calculate the value of the closing stock using the FIFO method. 2.1.3 Caiculate the cost of sales for the year. 2.1.4 The owner is considering changing to the perpetual stock system. Do you agree with his decision? Discuss by explaining ONE advantage and ONE disadvantage of the perpetual stock system in comparison the periodic stock system. 2.1.5 Calculate the stock holding period for the financial year. INFORMATION 2. The value of the opening stock includes import duty. 3. Import duty for the financial year: - Quinta import the generators in batches of 10. The import dufy is R1 000 per batch. 4. 10 generators bought on 20 December 2020 were returned to the supplier. The supplier agreed to refund R55 000 per generator and no other costs. GRADE 12 ACCOUNTNG 2022 5. The sales for the year were R3 094400 . 2.1 EQ TRADERS You are provided with information relating to EQ Traders, (owner E. Quinta), a business who sells power generators for home use. Quinta import these generators from a supplier in Germany. The periodic inventory system is in use and a faced seling price is maintained throughout the year. He uses the FIFO method of valuating stock. REQUIRED 2.1.1 Explain TWO ditferences in recording purchases of trading stock between the perpetual stock system and the periodic stock system. 2.1.2 Calculate the value of the closing stock using the FIFO method. 2.1.3 Caiculate the cost of sales for the year. 2.1.4 The owner is considering changing to the perpetual stock system. Do you agree with his decision? Discuss by explaining ONE advantage and ONE disadvantage of the perpetual stock system in comparison the periodic stock system. 2.1.5 Calculate the stock holding period for the financial year. INFORMATION 2. The value of the opening stock includes import duty. 3. Import duty for the financial year: - Quinta import the generators in batches of 10. The import dufy is R1 000 per batch. 4. 10 generators bought on 20 December 2020 were returned to the supplier. The supplier agreed to refund R55 000 per generator and no other costs. GRADE 12 ACCOUNTNG 2022 5. The sales for the year were R3 094400