Accounting Answers

Use the abbreviated statements to calculate the ratios below

20XY ROS?

1.     On March 1, 2020, Tahir Muktar, a famous businessman in Addis, opened a business named “Universal Garage” which is organized as a sole proprietorship. The business is established to render car repair, maintenance and related services for fees. Below are chart of accounts for and selected transactions completed by Universal Garage in March 2020.

1.ABC industries produces 1 table and sells it at shs 100. The marginal cost of production is shs. 60 and the fixed cost is shs. 4,000 per annum.

Calculate :

a) P/V ratio                                                   ( 1 marks)

b) break-even sales                                    ( 2 marks)

c) the sales to earn a profit of shs. 5,000 ( 3 marks)

d) profit at sales of shs 30,000                   ( 3 marks)

1.Kamau completed a job in 45 hours for which 60 hours were allowed. His wage rate per hour is shs 16.

Calculate kamau’s total wage according to :-

a) Halsey scheme                   (2 marks)

b) Halsey-Weir scheme         ( 2 marks)

c) Rowan scheme                   ( 2 marks)

an amount of $25000 was ommitted from the books for fees however $15000 was collected in cash and recoreded how is the journal entr recorded

R has a ten-year loan of $95685 at 6% interest. What payment will R make in the seventh year?

A 7% p.a. 10-year ordinary annuity with monthly compounding and a future value of $346 180 makes annual payments of