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Started on Sunday, 23 April 2023, 1:19 PM
State Finished
Completed on Sunday, 23 April 2023, 1:26 PM
Time taken 6 mins 52 secs
Marks 5.00/8.00
Grade 62.50 out of 100.00
,Question 1
Correct
Mark 5.00 out of 5.00
The following information was obtained from the accounting records of Cool Limited for the year ended 28 February 2022:
R
Inventory (1 March 2021) 149 500
Sales 750 000
Purchases 540 000
Sales returns 1 500
Purchases returns 2 000
Freight charges on purchases 650
Freight charges on sales 1 700
Settlement discount granted 350
A physical inventory count on 28 February 2022 indicated that the value of the closing inventory on hand amounted to R400 000.
Required:
Use the information provided above to calculate the gross profit/loss of Cool Limited for the year ended 28 February 2022. The entity
uses the periodic inventory control system.
NB: Instructions
1. Use a full stop to indicate any decimals (eg: 1000.01)
2. Only show the amount, do not show the R (eg: 12141.72)
3. If the total amount calculated is a loss, please enter the amount as a negative (eg: -12141.72), if the amount calculated is a profit, please enter
the amount as a positive (eg: 12141.72)
Answer: 460000.00
R R
Turnover (750 000 - 1 500 - 350) 748 150
Less: Cost of sales (288 150)
Inventory (1 March 2018) 149 500
Purchases (540 000 - 2 000) 538 000
Freight charges on purchases 650
688 150
Less: Inventory (28 February 2019) (400 000)
Gross profit 460 000
The correct answer is: 460000
,Question 2
Incorrect
Mark 0.00 out of 3.00
The following information was obtained from the accounting records of Letty Stores for the financial year ended 30 June 2021:
R
Inventory (1 July 2020) 100 000
Sales 600 000
Purchases 400 000
Sales returns 2 000
Purchases returns 3 000
Drawings: Bank 1 000
Inventory (30 June 2021) 120 000
Additional information:
1. On 29 June 2021, the owner took inventory with a cost price of R20 000 for own use. This transaction has not yet been recorded.
The entity uses the periodic inventory control system.
Required:
Use the information provided above to calculate the cost of sales for the year ended 30 June 2021.
NB: Instructions
1. Use a full stop to indicate any decimals (eg: 1000.01)
2. Only show the amount, do not show the R (eg: 12141.72)
3. If the total amount calculated is a loss, please enter the amount as a negative (eg: -12141.72), if the amount calculated is a profit, please enter
the amount as a positive (eg: 12141.72)
Answer: 377000.00
R
Inventory (1 July 2020) 100 000
Add: *Net purchases 377 000
477 000
Less: Inventory (30 June 2021) (120 000)
Cost of sales 357 000
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