QUESTION 2 - 60 MINUTES] [40 MARKS Mr Mrembo, a family friend of your family, owns...

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QUESTION 2 - 60 MINUTES] [40 MARKS Mr Mrembo, a family friend of your family, owns a company called Mrembo Sales. Mr Mrembo knows that your favourite subject at the University of Limpopo is accounting. He contacted you to help him prepare the annual financial statements for the year ended 28 February 2022 as his accountant had a personal matter to attend to. You are keen to assist Mr Mrembo during your June/July holiday as this would be great exposure and a chance to apply the knowledge you have obtained as a first-year student. Mr Mrembo has tasked you with preparing the annual financial statements for the year ended 28 February 2022. Mrembo Sales is not a registered VAT vendor and uses the periodic inventory system. You are preparing the financial statements and are provided with the following Pre-adjustment trial balance: Accounting fees Bank Buildings Cost Cleaning cost Drawings DEBIT BALANCES: R12000 75.000 150 000 Furniture and fittings: Cost Insurance expense Inventory-28/02/2021 Investment in FIMA Limited Land: Cost Telephone & Internet 1 &x x 10 000 30000 90 000 5000 105 000 80000 85 000 17000 Water & electricity 21000 Petty cash Purchases 1.900 80.000 Repairs and maintenance 7700 Salaries and wages expense 28000 Trade receivables lv & v 15 500 Trademark 60 000 CREDIT BALANCES: Accumulated amortisation on trademark vi Accumulated depreciation: Buildings Accumulated depreciation: Furniture & Fittings vil & vill 110 150 R6000 42500 3500 Capital account Dividend income Interest received Rent received Retained earnings (01/03/2021) Sales Trade payables ix Additional information: 40 000 20000 39 360 169 590 410 000 44.000 QUESTION 2 - 60 MINUTES] [40 MARKS Mr Mrembo, a family friend of your family, owns a company called Mrembo Sales. Mr Mrembo knows that your favourite subject at the University of Limpopo is accounting. He contacted you to help him prepare the annual financial statements for the year ended 28 February 2022 as his accountant had a personal matter to attend to. You are keen to assist Mr Mrembo during your June/July holiday as this would be great exposure and a chance to apply the knowledge you have obtained as a first-year student. Mr Mrembo has tasked you with preparing the annual financial statements for the year ended 28 February 2022. Mrembo Sales is not a registered VAT vendor and uses the periodic inventory system. You are preparing the financial statements and are provided with the following Pre-adjustment trial balance: Accounting fees Bank Buildings Cost Cleaning cost Drawings DEBIT BALANCES: R12000 75.000 150 000 Furniture and fittings: Cost Insurance expense Inventory-28/02/2021 Investment in FIMA Limited Land: Cost Telephone & Internet 1 &x x 10 000 30000 90 000 5000 105 000 80000 85 000 17000 Water & electricity 21000 Petty cash Purchases 1.900 80.000 Repairs and maintenance 7700 Salaries and wages expense 28000 Trade receivables lv & v 15 500 Trademark 60 000 CREDIT BALANCES: Accumulated amortisation on trademark vi Accumulated depreciation: Buildings Accumulated depreciation: Furniture & Fittings vil & vill 110 150 R6000 42500 3500 Capital account Dividend income Interest received Rent received Retained earnings (01/03/2021) Sales Trade payables ix Additional information: 40 000 20000 39 360 169 590 410 000 44.000