Question 1.1

The trial balance for Metorex (Pty) is provided below. Use Template 1 in the spreadsheet provided to do the following:

1. Prepare an income statement (8 marks)
2. Prepare a balance sheet (12 marks)

Use template 1 of the XL workbook

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Question 1.2

An abbreviated income statement and balance sheet are provided below. (10 marks)

Use Template 2 in the spreadsheet provided, then calculate the following ratios:

1. GP/sales
2. PAT/Sales
3. ROABIT
4. ROI
5. Current
6. Quick/Acid
7. Debtor days
8. Inventory days
9. Debt ratio
10. Debt to equity ratio

The ratio formulas are provided at the bottom of this exam paper.

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Question 1.3

Prepare a cash book payment journal using Template 3 in the Excel spreadsheet provided.

The following transactions were made: (10 marks)

1. Materials for R161,460 VAT inclusive, purchased on the 2021-10-06
2. Supplier Peabody CC was paid R180,000 on the 2021-10-14
3. Rent of R249,600 VAT inclusive was paid to Passat properties on the 2021-10-19
4. Tools to the value of R7,245 VAT inclusive were purchased from Jakes Hardware on the 2021-10-26
5. Supplier Quintus was paid R302,400 on the 2021-10-27

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Question 1.4

The records from a cash book and a bank statement are provided below. Use Template 4 in the spreadsheet provided to set out a bank reconciliation using the information below. (10 marks)

Use template 4 of the XL workbook

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Question 1.5

The following transactions took place in a new business: (10 marks)

1. The owner puts R1,600,000 into the new business
2. They purchase a vehicle for R300,00
3. They purchase inventory for R500,000 from a supplier who gave him credit
4. They sell R400,000 to a customer on credit
5. The inventory taken to service the sale above (in 4) is R197,500
6. They incur the expenses below paying cash for all of them

• Rent R22,500
• Salaries R134,250
• Advertising R29,000
• Stationery R1,830

Use Template 5 in the spreadsheet provided and fill in the columns using the accounting equation.

Question 1.2 Fill in the green blocks Income statement Sales Cost of sales Profit before interest & tax Profit after tax Rands 410 000 280 000 136 000 32 600 Balance sheet Non-current assets GP/sales PAT/Sales ROABIT ROI Current Quick/Acid Debtor days Inventory days Debt ratio Debto to equity ratio 157 800 Current assets A/cs receivable Inventory Cash 183 800 82 000 79 800 22 000 Total assets 341 600 Equity Non-current liabilities Current liabilities 160 000 67 600 114 000 341 600 D E F G I 1 j B Question 1.3 Fill in the green blocks Payment Date Details Sundries Material Input Details Amount - R purchases -R VAT-R Creditors R Bank R no. Indicate of DR or CR D E F G H J K L M N B Question 1.4 Fill in the green blocks 2 Cash book-R Bank statement-R 2 DR CR DR CR Balance Otober 2021 Description Otober 2021 Description 1 Opening balance 144 600 1 Opening balance 144 600 144 600 CR 195 000 195 000 108 900 38 670 0 A A 4 Deposit 1 8 EFT pmnt 1 14 Ch 2193 21 Ch 2194 22 Ch 2195 29 Deposit 2 Bal c/f 108 900 38 670 43 956 14 691 4 Deposit 1 8 EFT pmnt 1 14 Ch 2193 20 Debit - Top stores 29 Deposit 2 Bank charges 339 600 CR 230 700 CR 192 030 CR 190 582 CR 205 273 CR 1 448 14 691 55 350 945 204 328 CR 188 733 394 950 394 950 188 733 Question 4 Fill in the green blocks Balb/d Bank balance 204 328 Cash book balance | 188 733 Question 1.2 Fill in the green blocks Income statement Sales Cost of sales Profit before interest & tax Profit after tax Rands 410 000 280 000 136 000 32 600 Balance sheet Non-current assets GP/sales PAT/Sales ROABIT ROI Current Quick/Acid Debtor days Inventory days Debt ratio Debto to equity ratio 157 800 Current assets A/cs receivable Inventory Cash 183 800 82 000 79 800 22 000 Total assets 341 600 Equity Non-current liabilities Current liabilities 160 000 67 600 114 000 341 600 D E F G I 1 j B Question 1.3 Fill in the green blocks Payment Date Details Sundries Material Input Details Amount - R purchases -R VAT-R Creditors R Bank R no. Indicate of DR or CR D E F G H J K L M N B Question 1.4 Fill in the green blocks 2 Cash book-R Bank statement-R 2 DR CR DR CR Balance Otober 2021 Description Otober 2021 Description 1 Opening balance 144 600 1 Opening balance 144 600 144 600 CR 195 000 195 000 108 900 38 670 0 A A 4 Deposit 1 8 EFT pmnt 1 14 Ch 2193 21 Ch 2194 22 Ch 2195 29 Deposit 2 Bal c/f 108 900 38 670 43 956 14 691 4 Deposit 1 8 EFT pmnt 1 14 Ch 2193 20 Debit - Top stores 29 Deposit 2 Bank charges 339 600 CR 230 700 CR 192 030 CR 190 582 CR 205 273 CR 1 448 14 691 55 350 945 204 328 CR 188 733 394 950 394 950 188 733 Question 4 Fill in the green blocks Balb/d Bank balance 204 328 Cash book balance | 188 733