HGV 2022 Prelim P2

HILLGROVESECONDARYSCHOOLPRELIMINARYEXAMINATION2022SECONDARYFOUR(EXPRESS)/ FIVE(NORMALACADEMIC) CANDIDATENAME ( ) CLASS - CENTRENUMBER S INDEXNUMBER PRINCIPLESOFACCOUNTSPaper2 NoAdditionalMaterialsarerequired. 7087/0223Aug20222hours11.40AMto1.40PMREADTHESEINSTRUCTIONSFIRSTAn answer booklet will be provided with this question paper. Youshouldfollowtheinstructionsonthe front cover of the answer booklet. If youneedadditional answer paper asktheinvigilator for acontinuationbooklet. Answer allquestions. Attheendoftheexamination,fastenall yourworksecurelytogether.Thenumberofmarksisgiveninbrackets[]attheendofeachquestionorpartquestion. For Examiner’sUseMarks12Parent’s/Guardian’sSignature:___________________ 34TOTALThisdocumentconsistsof 6printedpages.

2 Answer allquestions. 1 The following balances were extracted from the books of Sedap Pte Ltd on 30 June2022. $Salesrevenue 900000Costofsales 795000Salesreturns 7000Officeequipment 30000Motorvehicles 90000Accumulateddepreciation:Officeequipment 6000Motorvehicles 22500Cashatbank 10800Tradereceivables 8000Allowanceforimpairmentoftradereceivables 400Sharecapital.10000ordinaryshares 20000Retainedearningsat1July2021 50450Servicefeeincome 10800Discountreceived 100Discountallowed 200Rent 35000Utilities 4900Wagesandsalaries 385002%LoanfromGTBank 24000Interest 50Inventory 14800 Additional information 1 Office equipment is to be depreciated at 10%per annum using the straight-linemethod. 2 Motor vehiclesaretobedepreciatedat 25%per annumusingthereducing-balancemethod. 3 Annual servicefeeincomeearnedfortheyearended30June2022was$12000. 4 Includedinrentwas$9000paidfor3monthsending31August2022. 5 It wasestimatedthat thebusinessmaynot beabletocollectpaymentfrom3%ofitscreditcustomers. 6 Loanof$24000wastakenupon1April 2022.Theloanisrepayableover6yearsonevery 31 March, starting 31 March 2023. Interest ischargedat 2%per annumandpartofitwasstill outstandingasat30June2022. HGVPRELIMINARYEXAMINATION20224E/5NAPRINCIPLESOFACCOUNTSPAPER2

3 7 Dividendsof $0.10per shareweredeclaredon25June2022. Thedividendswill bepaidon3July2022. REQUIRED (a) Preparethestatementoffinancial performancefortheyearended30June2022. [9] (b) Preparethestatementoffinancial positionasat30June2022. [11] [Total: 20] 2 DurianQueenisabusinessthat buysdurianfromMalaysiaandsellsthemtocustomersinSingaporeinvacuum-sealedboxes. Recently,DurianQueenpaidthefollowingamountsrelatingtoabatchofdurians. $Purchasepriceofdurians 7000Freight 100Customduties 490Packagingmaterials(e.g.vacuumsealerrollsandboxes) 200Salaryofpart-timeworkershiredtopacktheduriansintoboxes 900Salaryofsalespromoterhiredtopromotethedurians 1000 REQUIRED (a) Calculatethecostofpurchaseforthisbatchofdurian. [1] Durian Queen also buys and sells whole durians. On 1 January 2022, there were 20durians costing $480 in Durian Queen’s shop. The following transactions took placeduringthemonthofJanuary2022. January5 Bought20duriansat$500oncreditfromFruitsKing.10 Sold20duriansoncreditat$900toGrandHotel15 Paid$500by