Accounts questions | form three Basic Mathematics

Give short description of the following terms

1. Gross profit
2. Net profit
3. Trading account
4. Profit and Loss account

Answer / Solution

UNSOLVED

In July 1^st 2010 Mr. Mabuba started business with capital in cash 10, 000,000/=.

in July

3 purchased goods for cahs 2,500,000/=

4 sold goods for cash 5,000,000/=

7 purchased goods for cash 1,800,000/=

11 bought goods for cash 2,350,000/=

16 Paid cahs for rent 1,110,000/=

27 paid cash for wages 550,000/=

29 sold goods for cash 3,100,000/=

NB: Stock in hand at 31 July 2010  was 400,000/=

Prepare  Trading, Profit and  Loss Account.

Answer / Solution

UNSOLVED

Mwanne commenced business on 1^st April , 2015 with capital in cash 200,000/= April 2 bought goods for cash 100,000/=.

3 bought goods for cash 300,000/=

4 purchased shelves for cash 230,000/=

5 sold goods for cash 400,000/=

9 paid wages for cash 50,000/=

12 purchased goods for cash 70,000/=

13 sold goods for cash 600,000/=

16 paid rent for cash 100,000/=

20 bought goods for cash 60,000/=

25 sold goods for cash 300,000/=

27 paid salary for cash 70,000/=

Prepare the following

1. Cash account
2. Trial balance

Answer / Solution

UNSOLVED

1. What is a trial balance and what is its main purpose
2. On January 1^st 2015 Semolina Women Group started a business with a capital in cash of 2,000,000/=

january 2 purchased goods for cash 1,400,000/=

3 sold goods for cash 1,000,000/=

6 Purchased goods for cash 600,000/=

15 paid rent for cash 220,000/=

26 Paid wages for cash 220,000/=

15 Sold goods for cash 620,000/=

Prepare:

1. The cash account and balance it.
2. The Trial Balance

Answer / Solution

UNSOLVED

Given:

Opening stock 01-01-201234,430/=

Closing stock 31-12-201226,720/=

Net purchases during 2012212,290/=

Expenses for the year45,880/=

Gross Profit is 50% of cost of goods sold

Find: (i) Cost of goods sold(ii) The gross profit

Answer / Solution

UNSOLVED