accounting AS paper 1

[Anchelle]

anybody can explain to me how to find the answer C of $29000 in the 6th question?(octnov)2009 thank you.

 

[Anchelle]

i knoe the solutions already..hehe

 

[missgiggles]

cn u pls tell me hw to get the answer..??

 

[Moiz]

Well first mistake u have made is balance bd it should be 23000
Now,
DR:
bd 23000
Credit sale 64000
CR:
Cash 56840
Discount allowed 1160
cd 29000
... Discount is calculated like shown below:
56840/0.98 - 56840

 

[Anchelle]

hi,Moiz,thx for ur teaching,ERM,u hv take accounting in A level,rite?erm...so..next time if i hv problem about accounting,can i ask u?i m doing AS now.

 

[Anchelle]

accounting AS paper 1 (2)

hi,anybody can explain to me for the 15th,17th and 18th question (octbov2001),i m weak in company account.

 

[Moiz]

First of all I m doing AS level aswell not A-level
Q15:
is not in our syllabus its in A-level because it involves Goodwill

Q17:
The issued share capital is $300,000 the par value is $1 which mean that it has is issued 300,000 shares. The company makes a bonus issue of 1:4 shares meaning number of bonus share issued= 300,000/4=75,000 bonus are always issued at par so New O.S.C= 300,000+75,000=$375,000
Now right shares are issue, No of right shares issued=375,000/5=75000 since there is no mention of the amount it means that they are also issued at par So the O.S.C of company would be = $375,000 + $ 75,000 = $450,000

Q18:
No of shares= $400,000/0.5= 800,000
Now in jan no of bonus share issued = 800,000/4= 200,000 since bonus are always issued at par the value of them will be = 200,000*0.5= $100,000 bonus share are always issued from the reserves so they wont affect the bank balance

NEW O.S.C= 800,000+200,000=1,000,000 shares of value of $500,000
Then in March right shares are issue no of shares issued= 1,000,000/2= 500,000
they are issued at a premium of $0.15 which means that the were issued for par+0.15 i.e= $0.65
so double entry would be;
DR: Bank (0.65*500,000) $325,000
CR: OSC (0.50*500,000) $250,000
CR: Share Premium (0.15*500,000) $75,000

 

[NiveMango]

Actually it's a little hard question... Thinking is required! :%)

First, we need to focus on the sentence ---------> ( Credit Customers paid $ 56840 net of 2% cash discount)

The credit customers paid net of 2% cash discount , So we have to find the actual amount before cash discount. 100-2= 98

$56840 -----> 98
? -------> 100

56840/98 *100 = $58000 <------ This is the amount before cash discount.

Now back to our question

Add opening debtors that is $23000 +$64000 <------this is the credit sales = $87000 - 58000= $ 29000
THIS IS THE END OF THE QUESTION!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! It's easy but u should think!! :Bravo: