Photo AI
1.1 Refer to Information B (i) - NSC Accounting - Question 1 - 2022 - Paper 1
Question 1
1.1 Refer to Information B (i). Calculate the cost of the stock that was damaged. 1.2 Refer to Information B (ii). Calculate: 1.2.1 The profit/loss on sale of th... show full transcript
Worked Solution & Example Answer:1.1 Refer to Information B (i) - NSC Accounting - Question 1 - 2022 - Paper 1
Step 1
Calculate the cost of the stock that was damaged.
Answer
To determine the cost of the damaged stock, we can use the formula:
Cost of stock damaged = (Total stock - Unused stock) × Cost per unit
= (9,000 - 7,750) × 731
Calculating this gives us:
= 1,250 × 731 = 47,515
Thus, the cost of the stock that was damaged is R47,515.
Step 2
The profit/loss on sale of the delivery vehicle.
Answer
To calculate the profit or loss on the sale of the delivery vehicle, we consider the sale price and the carrying amount of the vehicle.
Using the figures provided in the information, we can compute:
Profit/Loss = Sale Price - Carrying Amount
Assuming the sale price and carrying amount are known from the provided records, one would substitute those values here.
Step 3
Total depreciation for the year.
Answer
To find total depreciation, we sum the depreciation expense for all relevant assets for the year.
Assuming specific depreciation figures for assets are taken from the records:
Total Depreciation = Depreciation of Asset A + Depreciation of Asset B + ... + Depreciation of Asset N.
Substituting with actual values will yield the total amount.
Step 4
Statement of Comprehensive Income for the year ended 28 February 2022.
Answer
The Statement of Comprehensive Income includes the following components:
- Sales: R9,355,250
- Cost of Sales: R5,665,250
- Gross Profit: R3,690,000
- Operating Expenses: R3,135,000
- Operating Profit: R575,000
Translating this data into a formatted statement will show the financial performance clearly.
Step 5
Equities and Liabilities section of the Statement of Financial Position.
Answer
The Equities and Liabilities section includes:
- Ordinary Share Capital: R6,670,000
- Retained Income: R3,000,000
- Non-current Liabilities: R1,025,075
- Current Liabilities: R746,925
Combining these will provide a clear picture of the company's financial position at the end of the year.