Admiralty 4NA POA Prelim 2024 P1

PLEASE DO NOT TURN OVER THE PAPER UNTIL YOU ARE TOLD TO DO SO. ___________________________________________________________________ This document consists of 10 printed pages including this cover page. ADMIRALTY SECONDARY SCHOOL SUBJECT : Principles of Accounts CODE/PAPER : 7086/1 LEVEL/STREAM : Secondary 4 Normal (Academic) DATE : 26 July 2024 TIME : 1030h – 1130h DURATION : 1 hour READ THESE INSTRUCTIONS FIRST Write your index number and name in the spaces at the top of this page. Write in dark blue or black pen. You may use an HB pencil for any rough working. Do not use staples, paper clips, glue or correction fluid. The use of an approved calculator is allowed. Answer all questions. The businesses described in this question paper are entirely fictitious. The number of marks is given in brackets [ ] at the end of each question or part question. PRELIMINARY EXAMINATION 2024 NAME: NO: CLASS: 40

2 Answer ALL questions. 1 Rick is the accountant of Urban Elegance, a clothing business. REQUIRED (a) Explain the role of accountants. [2] (b) Name and explain one professional ethic accountants must have. [2] On 31 May 2024, Rick discovered the following errors in the books of the business. 1 Payment of $5 400 by cheque for rent has been recorded as $6 400 in the books. 2 Purchase of laser printer worth $1 200 has been recorded in the motor vehicles account. 3 Credit sale of $2 000 to Mike has been debited to the sales revenue account and credited to trade receivable – Mike account.

3 REQUIRED (c) Prepare journal entries to correct each error above. Narrations are not required. Journal [6] (d) State the effect of error (1) and (3) on profit for the year. For example: Overstated by $50 / Understated by $50 / No effect Error 1: Error 3: [2] [Total: 12]

4 2 Classy Carriers is a business selling handbags. The cash at bank account and bank statement of Classy Carriers are as follows. Cash at bank account Date Particulars Cheque Debit Credit Balance 2024 $ $ $ Apr 1 Balance b/d 13 450 Dr 5 MaxCraft 4 500 17 950 Dr 11 Bella Bags 20138 1 165 16 785 Dr 18 Jackson Trading 2 430 19 215 Dr 23 Style Haven 20139 900 18 315 Dr 30 Trend Tide 3 300 21 615 May 1 Balance b/d Bank Statement Date Particulars Withdrawals Deposit Balance 2024 $ $ $ Apr 1 Balance b/d 13 500 Cr 1 Cheque no: 20133 50 13 450 Cr 7 Cheque deposit 4 500 17 950 Cr 11 Rejected cheque (7 Apr) 4 500 13 450 Cr 18 Direct payment - Rent 1 200 12 250 Cr 24 Direct deposit - Leathercare 4 890 17 140 Cr 27 Cheque no. 20138 1 165 15 975 Cr 29 Cheque deposit 2 430 18 405 Cr 30 Bank charges 30 18 375 Cr

5 REQUIRED (a) Prepare the adjusted cash at bank account for the month of April 2024.