JIMO LIMITED The information relates to the financial year ended 30 June 2021 - NSC Accounting - Question 1 - 2021 - Paper 1

The steps to calculate the net profit after tax are:

1. Start with incorrect net profit before tax: R4 918 950.

2. Adjust for any additional costs or changes:

   • Add Audit fees: R123 600.
   • Subtract Interest on loan: $4 028 000 - R3 755 000 = -R273 000.
   • Subtract Rent Income adjustments accordingly.
   • Subtract Income tax: net figure.

3. Total for net profit after tax:

   $(4 918 950 + 123 600 - 273 000 - 9 500 + 1 285 250)$

4. Resulting net profit after tax calculation yields:

   • R3 474 800. Thus, there is an increase in net profit after tax of R3 474 800.

To complete the Retained Income Note:

1. Note the beginning balance: R4 740 800.

2. Add net profit after tax (as calculated): R3 474 800.

3. Deduct Dividends for the year: R1 170 000.

4. The ending balance will thus be:

   • $(4 740 800 + 3 474 800 - 1 170 000)$

5. Conclusively, the ending balance equals R3 240 000.

To complete the Statement of Financial Position:

1. Start with Total Assets: R16 762 000.

2. Break down the non-current and current assets:

   • Non-Current Assets: Financial and fixed assets.
   • Current Assets breakdown:
     • Inventories, Trade and other receivables, and Cash accounts.

3. Ensure the liabilities and equity align properly, securing the total equity must equal total liabilities.

4. Note: Ensure auditing fees and other costs are considered affecting these calculations.