JSS_2022_4E_GE2_P2_V2 with ANS

7087/02/GE2/22 O JURONG SECONDARY SCHOOL 2022 GRADUATION EXAMINATION 2 SECONDARY 4 EXPRESS SECONDARY 5 NORMAL ACADEMIC CANDIDATE NAME CLASS INDEX NUMBER PRINCIPLES OF ACCOUNTS Paper 2 7087/02 18 Aug 2022 2 hours Additional Material: Writing papers (6 sheets) READ THESE INSTRUCTIONS FIRST Write your class, index number and name on all the work you hand in. Write in dark blue or black pen on both sides of the paper. You may use an HD pencil for rough working. Do not use staple, paper clips, highlighters, glue or correction fluid. The use of an approved calculator is allowed. The number of marks is given in brackets [ ] at the end of each question or part question. The total marks for this paper is 60. ________________________________________________________________________________ This document consists of 6 printed pages including this page. [Turn over]

2 7087/02/GE2/22 1 The following trial balance was extracted from JingTing Pte Ltd on 31 May 2022. $ Share capital, 100 000 ordinary shares 150 000 Retained earnings 1 June 2021 82 200 Property 200 000 Accumulated depreciation - property 40 000 Motor Vehicles 80 000 Accumulated depreciation - motor vehicles 16 000 Inventory 49 600 Trade receivables 15 500 Cash at bank 10 000 Allowance for impairment of trade receivables 1 400 10% Bank Loan 80 000 Interest on bank loan 1 000 Cost of sales 72 700 Sales revenue 85 000 Commission income 3 800 Rental expenses Discount received 30 000 400 Additional information: 1 On 31 May 2022: (i) Rental expenses covers the period 1 June 2021 to 31 August 2022. (ii) Commission income, $200, had been received in advance. 2 The net sale realisable value of inventory as at 31 May 2022 was $49 000. 3 A credit customer was declared bankrupt. $500 of debt was be written off. 4 A review shows that 5% of the trade receivables are likely to be uncollectible. 5 One- fifth of the loan was due for repayment on 30 June 2022. Interest on loan was not fully paid. 6 Depreciation policy is as follows: (i) Property: 5% per annum on cost. (ii) Motor vehicles: 20% per annum on net book value. 7 Dividends at $0.05 per share was declared on all shares on 31 May 2022 and will be paid out on 31 July 2022. REQUIRED (a) Prepare the Statement of financial performance for the year ended 31 May 2022. [10] (b) Prepare the Statement of financial position as at 31 May 2022. [10] [Total: 20] [Turn over]

3 7087/02/GE2/22 2 Jolene Trading’s financial year ends on 30 April. The following information is supplied. 30 April 2021 30 April 2022