Adobe Acrobat Reader DC-bt) Views Window Help Tools Exam.pdf 175 1193 QUESTION THREE [30] Below is the information pertaining to MBALI PTY(Ltd) a horticultural entity based in Garden Route municipality. Mrs Rose Blom owns the business Adob Budgeted Sales Actual Sales 100 000 120 000 Cost of Sales 75 000 90 000 October 2020 November 2020 December 2020 January 2021 120 000 160 000 200 000 150 000 Page 3 of 5 a. b. C. d The business has overdraft bank facilities of R50 000 25% of the total sales are on credit. Debtors are expected to pay their accounts as follows: - 65 % in the month following the month of the sale. 33% two months following the month of the sale. 2% is to be written off in the third month following the month of the sale. A fixed level of trading stock on hand is maintained throughout the year through replacement on a monthly basis. Purchases of stock 65% of all stock is bought on credit Creditors are paid in full in the month following the month of purchase to quality for a 5 % discount It has been agreed that Mrs Blom, will take unused equipment at book value in January for her own use the equipment is worth R2 000 R100 000 was invested in fixed deposits with Bahati Bank on 1 November 2020. Interest is received on a monthly basis at 15 % per annum; half of these fixed deposits matures on 31 December 2020. The rest matures in February 2021 to f. 9 h. i. Rent of R9 000 is payable by MBALI PTY (Ltd) at the start of each month. This will be increased by 5 % with effect from 1 January 2021. Total salaries for November 2020 amounts to R20 000. One employee, who eams R2 000 per month, will leave the business at the end of November 2020. The salaries of the remaining employees will be increased by 15 % with effect from 1 January 2021. k. 1. A vehicle with a carrying value of R50 500 will be traded-in at book value on 1 December 2020 for a new vehicle costing R160 000. A deposit of R20 500 will be paid on 1 December 2020 and the balance of the outstanding amount will be paid in six equal instalments commencing 1 January 2021 The bookkeeper is paid a monthly fee of R2 000 Other operating expenses were R7 500 for November. These expenses are expected to increase by R500 each month thereafter. The business has an overdraft of R17 000 at the beginning of December 2010 Interest is calculated by the bank on the balances at the beginning of each month Provide for interest at the following rates (calculations to the nearest R): Unfavourable balance: 2% per month m. n. Adobe Acrobat Reader DC-bt) Views Window Help Tools Exam.pdf 175 1193 QUESTION THREE [30] Below is the information pertaining to MBALI PTY(Ltd) a horticultural entity based in Garden Route municipality. Mrs Rose Blom owns the business Adob Budgeted Sales Actual Sales 100 000 120 000 Cost of Sales 75 000 90 000 October 2020 November 2020 December 2020 January 2021 120 000 160 000 200 000 150 000 Page 3 of 5 a. b. C. d The business has overdraft bank facilities of R50 000 25% of the total sales are on credit. Debtors are expected to pay their accounts as follows: - 65 % in the month following the month of the sale. 33% two months following the month of the sale. 2% is to be written off in the third month following the month of the sale. A fixed level of trading stock on hand is maintained throughout the year through replacement on a monthly basis. Purchases of stock 65% of all stock is bought on credit Creditors are paid in full in the month following the month of purchase to quality for a 5 % discount It has been agreed that Mrs Blom, will take unused equipment at book value in January for her own use the equipment is worth R2 000 R100 000 was invested in fixed deposits with Bahati Bank on 1 November 2020. Interest is received on a monthly basis at 15 % per annum; half of these fixed deposits matures on 31 December 2020. The rest matures in February 2021 to f. 9 h. i. Rent of R9 000 is payable by MBALI PTY (Ltd) at the start of each month. This will be increased by 5 % with effect from 1 January 2021. Total salaries for November 2020 amounts to R20 000. One employee, who eams R2 000 per month, will leave the business at the end of November 2020. The salaries of the remaining employees will be increased by 15 % with effect from 1 January 2021. k. 1. A vehicle with a carrying value of R50 500 will be traded-in at book value on 1 December 2020 for a new vehicle costing R160 000. A deposit of R20 500 will be paid on 1 December 2020 and the balance of the outstanding amount will be paid in six equal instalments commencing 1 January 2021 The bookkeeper is paid a monthly fee of R2 000 Other operating expenses were R7 500 for November. These expenses are expected to increase by R500 each month thereafter. The business has an overdraft of R17 000 at the beginning of December 2010 Interest is calculated by the bank on the balances at the beginning of each month Provide for interest at the following rates (calculations to the nearest R): Unfavourable balance: 2% per month m. n