Accounting Answers

Accounting

Question No. 4
Pioner limited makes four component A, B, C and D for which cost in the forthcoming year are expected to be as follows:
A B C D
Production (units) 22,000 16,000 26,000 18,000
Rupees per unit
Direct material 32 28 36 40
Direct labour 30 28 32 28
Variable Overhead 6 8 4 4
68 64 72 72
A sub-contractor has offered to supply units of A, B, C and D for Rs. 75, Rs. 71, Rs. 73 and Rs. 65 respectively.
Required:
Which product should buy or make

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Question #233422

Accounting

Sufain Limited planning to invest in a project with an initial investment of Rs. 2,000,000. Following is the sales forecast for 5 years of useful life. Cost of Capital 8%.

Year Cash Flows (Rs.)

1 600,000

2 750,000

3 960,000

4 1,200,000

5 1,350,000

Required:

1. Net present value (NPV)

2. Internal Rate of Return (IRR)

3. Simple payback period

4. Discounted payback period

5. Accounting Rate of Return

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Question #232956

Accounting

Should the company focus solely on online channels or should it consider traditional channels like outdoor advertising (billboards)? If traditional channels are to be considered--which ones and why? How would the company go about executing on outdoor? How would it execute online?

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Question #232853

Accounting

ndard Chartered Bank Zambia PLC (Stanchart) has 100,000 shares in issue at the beginning of 2020. On 30th June 2020, the bank issues 50,000 more shares at full market price of K2.3. The nominal price per share of the initial 100,000 shares was K1. The 2019 earnings before tax were K250,000 (2019: K330,000), with an effective tax rate of 30%.REQUIRED:Identify an appropriate company on the LUSE whose performance will be compared to that of Stanchart. Now analyse Stanchart’s performance for 2020 with reference to the following question.Calculate the earnings per share (EPS) as at 31st December 2019 and 2020 correct to two decimal places for Stanchart.[10 Marks]Calculate the earnings per share (EPS) as at 31st December 2019 and 2020 correct to two decimal places for the comparative company.[10

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Question #232852

Accounting

Jan 1. Issued common stock for K80,000 cash.Jan 2. Purchased equipment costing K82,000 financed by a long term loan from Bizzbucks for the full amount.Feb 7. Provided delivery service to customers, K72,000 in accounts receivable and K16,000 in cash.Feb 18. Incurred repair costs of K3,000 on account from Mbewe Bikes.Mar 12. Collected K65,000 cash from customers on account.Mar 20. Borrowed K90,000 by signing another long-term loan from Bizzbucks.Mar 25. Paid K74,400 cash for bike rentals during the quarter. Mar 25. Paid employees K38,000 cash for work done during the quarter.Mar 26. Paid (with cash) K49,000 fuel for delivery equipment used during the quarter.Mar 28. Paid K2,000 cash on accounts payable.Mar 30. Ordered, but haven’t yet received, K700 in supplies.Required:Open the appropriate ledger accounts and post the accompanying transactions.[22 Marks]Close off the accounts and prepare the Trial Balance as at 31 March.

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Question #232851

Accounting

Jan 1. Issued common stock for K80,000 cash.Jan 2. Purchased equipment costing K82,000 financed by a long term loan from Bizzbucks for the full amount.Feb 7. Provided delivery service to customers, K72,000 in accounts receivable and K16,000 in cash.Feb 18. Incurred repair costs of K3,000 on account from Mbewe Bikes.Mar 12. Collected K65,000 cash from customers on account.Mar 20. Borrowed K90,000 by signing another long-term loan from Bizzbucks.Mar 25. Paid K74,400 cash for bike rentals during the quarter. Mar 25. Paid employees K38,000 cash for work done during the quarter.Mar 26. Paid (with cash) K49,000 fuel for delivery equipment used during the quarter.Mar 28. Paid K2,000 cash on accounts payable.Mar 30. Ordered, but haven’t yet received, K700 in supplies.Required:Open the appropriate ledger accounts and post the accompanying transactions.[22 Marks]Close off the accounts and prepare the Trial Balance as at 31 March.

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Question #232830

Accounting

Use the basic accounting equation to analyse and record the transactions of a and son's in the correct format of accounting equation.
A contributed her car worth 500 for business purposes
Weekly wages made in cash r400
A withdrew 2000 from business account for personal use
Trading inventory was bought on wholesaler credit R500
Goods were sold on credit 2000
Paid wholesaler 2000

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Question #232796

Accounting

A. Put an (*) before the number if it is part in the preparation of Statement of Comprehensive Income and (NA) if it is not part in the preparation of SCI.

----- 1. The company made an initial cash deposit amounting to P80,000.

----- 2. The owner bought shop's office chairs and tables for P20,000, paying P5,000 and the balance on account.

----- 3. Miss Wow paid advance rent to P24,000.

----- 4. Supplies expense for the month is P12,500.

----- 5. The company's total revenue for the month of July amounted to P150,000.

----- 6. An employee of the shop was paid for P7,500.

----- 7. Her receivable amounted to P3,500 for services made to Customer A.

----- 8. The owner paid for internet subscription at P1,700.

----- 9. Light and water expense for the month amount to P8,000.

----- 10. Miss Wow made a loan to OOTD Bank amounting to P50,000 payable in 5 years.

B. Miss Wow, the service business owner, ask you to prepare her statement of comprehensive income for the month.

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Question #232795

Accounting

A. Answer the questions below.

What is the importance of preparing your family's income statement?
Explain the accrual concept of revenue and expense recognition.

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Question #232794

Accounting

A. Solve for the unknown using the SCI format. Show your solution and answer.

Case 1:

Expenses P20,000

Net Income/(Net Loss) 50,000

Service Income ?

Case 2:

Net Income/(Net Loss) P67,500

Service Revenue 80,000

Expenses 12,500

Other Comprehensive Income 10,500

Comprehensive Income ?

Case 3:

Comprehensive Income P40,000

Other Comprehensive Income 4,000

Service Income 130,000

Net Income/(Net Loss) 36,000

Expenses ?

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