Name: Class: Instructions to Candidates. Mark Awarded. Year 9 ACCOUNTING Time: 1:30min. The use of calculators is allowed.

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1 Year 9 ACCOUNTING Time: 1:30min Name: Class: Instructions to Candidates The use of calculators is allowed. All questions must be attempted. All workings must be shown. Mark Awarded Page 1 of 8

2 1. Tick the correct answer. [1 x8 8 marks] a. The business buys goods on credit from C-Town Ltd. This is recorded as: i. Dr. Purchases A/c Cr. Bank. A/c ii. Dr. Purchases A/c Cr. C-Town Ltd. A/c iii. Dr. C-Town Ltd. A/c Cr. Purchases A/c iv. Dr. C-Town Ltd. A/c Cr. Sales A/c b. Which of the following is a Liability?: i. Machinery ii. Premises iii. Bank Overdraft iv. Motor Van c. After balancing the accounts in the ledger we prepare i. An invoice. ii. A receipt iii. The trial balance iv. Credit note d. Which of the following are all examples of Expenses? i. Wages, Advertising and Rent Payable ii. Motor Van, Commission Receivable and Salaries iii. Trade Payables, Electricity and Cash Sale iv. Loan from Bank, Interest Payable and Commission Receivable e. Commission Receivable is: i. An Income ii. An Expense iii. A Personal Account iv. A Trade Payable f. Anthony is a sole trader and he started his business by putting 1,200 in the cash till and 3,000 in the bank from his perosonal funds. In this case: i. The Capital is 1,200 ii. The Drawings are 1,200 iii. The Capital is 4,200 iv. The Drawings are 4,200 Page 2 of 8

3 g. The bank account has a balance b/d on the credit side. This situation is called: i. A Credit Sale ii. A Cash Sale. iii. A Credit Purchase iv. An Overdraft h. A motor vehicle used in the business has been sold to John Abruzzi receiving payment by cheque. This transaction is recorded as: i. Dr. John Abruzzi A/c Cr. Sales A/c ii. Dr. Bank A/c Cr. Motor Van A/c iii. Dr. Motor Van A/c Cr. Bank A/c iv. Dr. Motor Van A/c Cr. John Abruzzi A/c 2. Give one word for the following: [2x10 20marks] a) Persons or businesses who owe our business money because we sold him goods on credit. b) A person who owns a business by himself c) Money taken from the business by the owner for his own personal use. d) Recording the daily transactions that happen in a business e) f) g) h) i) Items owned by the business that add to the value of the business, such as premises, motor vehicles and money at the bank. These represent amounts that the business owes. (Examples include Loans, Trade Payables and Overdrafts) The daily events that happen in a business such as buying and selling of goods. These are people or businesses to whom the business owes money. When the owner of a business gives money (or other items that belong to him) to the business. j) The stock of a business can also be referred to as: Page 3 of 8

4 3. The Accounting Equation:- a) Put the following items under their apprpriate heading in the table below and find the total Assets and Total Liabilities at the year end. [1x10 10 marks] Loan from Bank 5,000; Cash 350; Premises 30,000; MotorVan 2,500; Inventory 12,000; Trade Receivables 3,400; Trade Payables 4,800; Bank Overdraft 2000; Office Furniture 2,600 and Machinery 7,000. Assets Liabilities Total Assets: Total Liabilities: b) Use the acconting eqution to calcuate the amount of Capital of this businsess. [3 marks] Page 4 of 8

5 4. You are required to balance off the following accounts on March 31st: Capital Account [Folio 1] Mar 1 Bank A/c 2 12,000 Mar 15 Cash A/c 6000 Bank Account [Folio 2] Mar 1 Capital A/c 1 12,000 Mar 3 Furniture A/c Mar 12 Mar 16 Mandy Gatt A/c 9 1,000 Mar 6 Machinery A/c Sales Mar 7 Tonio Borg Mar 8 Purchases A/c Mar 12 Tonio Borg Mar 22 Furniture A/c Mar 24 Wages Mar 27 Cash 5 90 Furniture Account Mar 3 Bank A/c Mar 22 Bank A/c [Folio 3] Page 5 of 8

6 Machinery Account Mar 6 Bank [Folio 4] Cash Account [Folio 5] Mar 15 Capital Mar 8 Wages A/c Mar 27 Bank A/c 2 90 Mar 12 Purchases A/c Wages Account [Folio 6] Mar 10 Cash A/c Mar 24 Bank A/c Purchases Account [Folio 7] Mar 8 Bank A/c Mar 7 Tonio Borg Mar 12 Cash A/c Page 6 of 8

7 Sales Account Mandy Gatt A/c Mar Mar 16 Bank A/c [Folio 8] Mandy Gatt Account [Folio 9] Mar 11 Sales A/c Mar 12 Bank A/c 2 1,000 Tonio Borg Account Mar 7 Bank A/c Mar 7 Purchases A/c Mar 12 Bank A/c [Folio 10] [2x10 = 20marks] 5. Now fill in the table by copying the balances from his ledger to extract a Trial Balance as at 31st March Trial Balance as at 31 st March 2015 Account Folio Debit Credit Totals [1x10 = 10marks] [correct totals = 1mark] Page 7 of 8

8 6. Although the Trial Balance totals agree there can still be some errors present. Explain. [ 3 marks] 7. Angele opened a clotches shop on 1st December The following details relate to her first month: Dec 01 Dec 04 Dec 07 Dec 08 Dec 12 Angele started business by putting 30,000 into the business bank account. Bought goods on credit costing 1,900 from George Vella. Transferred 10,000 from the bank to the cash till. Returned 100 worth of goods back to George as they were defective. Bought Fixtures costing 2,300 paying by cash. Dec 20 Bought goods paying by cheque 900. Dec 21 Owner took 800 cash for personal use. Dec 22 Sold goods receiving payment in cash 200. You are required to record the transactions shown below in the ledger using the double entry accounting system. YOU ARE NOT REQUIRED TO BALANCE THE ACCOUNTS. [8x3 = 24 marks] [neat layout=1mark] Page 8 of 8

Please write all your answers in blue or black ink in the answer book provided. There are 3 questions to attempt.

Desk Number. University Card Number FOUNDATION Mid Term Assessment Group November 2016 Accounting 1.5 hours Instructions Please write all your answers in blue or black ink in the answer book provided.