Accounting Grade 10 Relab Activities - Worksheets

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REMOTE LEARNING ACTIVITY BOOK

(RELAB)
ACCOUNTING
GRADE: 10
TERM 1- 4
WORKSHEETS

1
A. TABLE OF CONTENTS

Term Week Topic Paper Page

1 Baseline assessment activities P1/P2 4- 6

2 Indigenous Bookkeeping Not 7- 8


examinable
3 Internal Control ,Ethics and GAAP P1/P2 9- 10
One
4- 7 Bookkeeping of a sole trader :Cash Transactions P1 11 - 22

8 -10 Bookkeeping of a sole trader :Credit Transactions P1 23- 28

11-12 Debtors and Creditors Reconciliation P2 29- 32

13-14 Salaries and Wages Journals P1 33- 35


Two
15-19 Year-end Adjustments P1 36- 40

21- 27 Final Accounts and Financial Statements P1 41- 49

Three 28- 30 Analysis and Interpretation of Financial Statements P1 50- 55

31 Value Added Tax P2 56- 60

32 Cost Accounting P2 61- 66


Four
33 Budgets P2 67- 70

2
B. INTRODUCTION AND PURPOSE OF THE RELAB

The pandemic has forced schools to resort to the implementation of rotational timetables-where
learners who are at home during normal schooling must continue learning. Hence RELAB as a
strategy towards the deployment of remote learning.
The RELAB is underpinned by the following Legislative demands:
a) Responding to GDE Strategic goal 2 promoting quality education across all classrooms and
schools
b) DBE Circular S13 of 2020 the requires the GDE to support the implementation of the Recovery
Annual Teaching Plan (RATP)
c) GDE Circular 11 of 2020 requiring districts to issue Learning Activity Packs to support schools
for lockdown learning. Understanding learning constraints at home as majority of learners do
not have access to devices or data to use for online learning. Many households are depending
on schools to provide them with learning resources packs

RELAB is designed in a study guide format, where the content is briefly explained with related
concepts as revision, in the form of e.g. notes, mind-maps, concept progression from the previous
grade/s followed by exemplar exercises then practice exercises/problems. The exercises are
pitched at different cognitive levels to expose learners at Grade 10 & 11 to these different cognitive
levels of questioning. The NSC diagnostic reports in different subjects have revealed that learners
fail to analyse questions and as a result fail to respond accordingly.

The RELAB is intended to ensure that learners work on exercises as per topics taught while at
school. These exercises must be completed at home, fully and learners will receive feedback as
groups or individually at school. It is therefore of paramount importance that teachers mark the
work with learners in class, as a way of providing feedback. Educators must diagnose learner
responses, remediate where necessary and plan further intervention.

Educators are encouraged to create WhatsApp groups to remind learners on what is expected of
them in a particular week/ day(s). There shouldn’t be a backlog on curriculum coverage as content
will be covered simultaneously. Feedback from learners at home will confirm usage of the RELAB
material.

RELAB further prepares learners for formal assessment.

3
1. BASIC ASSESSMENT ACTIVITIES

ACTIVITY 1

CASH RECEPTS JOURNAL OF ITUMELENG’S CLEANING SERVICES FOR FEBRUARY 2021


Doc Date Details F Analysis Bank Current Sundry Accounts
of Income
Amount F Details
Receipts
R1 1 I Modiba 30 000 30 000 Capital

CASH PAYMENTS JOURNAL OF ITUMELENG’S CLEANING SERVICES FOR FEBRUARY 2021


Doc Date Details F Bank Consumables Wages Sundry Accounts
Amount F Details

GENERAL LEDGER OF ITUMELENG’S CLEANING SERVICES

Balance sheet accounts section

Capital

4
Drawings

Equipment

Bank

Nominal accounts section

Current Income

Rent Income

Commission Income

5
Consumables

Wages

Rent Expense

TRIAL BALANCE OF ITUMELENG’S CLEANING SERVICES AT 28 FEBRUARY 2021


Debit Credit

6
2. Indigenous bookkeeping

ACTIVITY 2:
Comparison between formal and
informal business.
Informal Formal
Capital

Fixed Assets

Trading Stock

Bookkeeping

Bank Account

Bank Charges

Selling Price

Cost of Sales
 

Labour Costs

Rent for Premises

Total Marks

20

7
ACTIVITY 3

3.1 Granny Sithole bought baking ingredients for R1 200, the baked rusks were
sold for R1 800.Calculate the profit mark-up.

3.2 RECEIPTS AND PAYMENTS BOOK


RECEIPTS PAYMENTS
Month Day Details Amount Month Day Details Amount
Jan Jan

16

Total Marks

20

8
3. ETHICS ,INTERNAL CONTROL AND GAAP

ACTIVITY 3

INTERNAL CONTROL AND APPLICATION OF GAAP PRINCIPLES

3.1 Identify THREE weaknesses in the internal control system of Soapy Car Wash.

3.2 List THREE internal control processes that must be put in place to reduce levels of theft to a
minimum.

9
3.3 Did Sandy follow the correct procedure when she deposited R3 000 obtained from the sales of
horse pipes into her personal banking account? Support your argument by referring to the
appropriate GAAP principle.

3.4 Sandy allows family members to wash their cars for free and no records are kept, as an
accountant what advice would you give to her. Provide TWO points.

TOTAL MARKS

20

10
4. CASH TRANSACTIONS

ACTIVITY 1

QUESTION 1 : CONCEPTS

1.1
1.2
1.3
1.4
05
1.5

11
QUESTION 2.1

CASH RECEIPTS JOURNAL OF FOREST TRADERS FOR JANUARY 2020


Analysis
Doc Day Details of Bank Sales Cost of Debtors Discount Sundry accounts
receipts sales control allowed Amount Details

20

12
CASH PAYMENT JOURNAL OF FOREST TRADERS FOR JANUARY 2020

Doc Day Payee Bank Debtors Trading Creditors Discount Sundry accounts
Control Stock control received Amount Details

25

13
QUESTION 2.2 : LEDGER ACCOUNTS

Dr COST OF SALES N2 Cr
2020
Jan 1 Total b/d 60 000

Dr Trading Stock B1 Cr
2020
Jan 1 Balance b/d 56 000

14
2.3 ETHICS AND INTERNAL CONTROL
Suggest FOUR internal control measures the business can put in place to avoid problems in the future.

Total Marks

61

15
QUESTION 3 - ACCOUNTING EQUATION

NR SOURCE GENERAL LEDGER A OE L


DOCUMENT ACCOUNT DR ACCOUNT CR
Petty Cash
E.g. Voucher Stationery Petty Cash - 200 -200 0

Total Marks

34

16
17

ACTIVITY 2

QUESTION ONE : CONCEPTS ,JOURNALS AND POSTING

1.1 CONCEPTS

1.1.1

1.1.2

1.1.3

1.1.4
5
1.1.5

17
1.2 CASH JOURNALS

CASH RECEIPTS JOURNAL OF JADE CREATIONS FOR MARCH 2021


F Analysis
Doc Day Details of Bank Sales Cost of Debtors Discount Sundry accounts
receipts sales control allowed Amount F Details

24

18
CASH PAYMENT JOURNAL OF JADE CREATIONS FOR MARCH 2021
Trading Creditors Discount Sundry accounts
Bank Wages
Doc Day Payee F Stock control received Amount F Details

43

19
1.3 GENERAL LEDGER OF JADE CREATIONS FOR MARCH 2021

Dr Bank Account B1 Cr
2021
Mar 1 Balance b/d 59 000

Total Marks

78

20
ACTIVITY 2: CONCEPTS AND INTERNAL CONTROL

2.1 GAAP CONCEPTS

2.1.1

2.1.2

2.1.3

2.1.4
5
2.1.5

2.2 INTERNAL CONTROL

2.2.1 Comment on the stock balances and provide figures to support your answer.

2.2.2 Provide TWO reasons for the high closing balance reflected in the Trading stock
account

21
22

2.2.3 Provide TWO disadvantages of keeping the high volume of stock

2.2.4 What is the disadvantage of keeping low stock, explain in ONE point.

2.2.5 Bekezela suspects that the stock of winter jerseys that were imported from Italy is
reducing. How can the stock be protected from theft, provide TWO points.

4
Total Marks

22

22
23

5. CREDIT TRANSACTIONS

ACTIVITY 1: JOURNALS AND CREDITORS LEDGER

1.1.1 CASH PAYMENTS JOURNAL OF PEARL TRADERS FOR MARCH 2021 CPJ 1

Doc Day Payee F Bank Trading Creditors Wages Sundry accounts


stock control
Amount F Details

25

23
24

1.1.2 CREDITORS JOURNAL OF PEARL TRADERS FOR MARCH 2021

Doc Day CREDITOR F Creditors Trading Stationery Sundry accounts

INV control Stock Amount F Details

24
25

1.1.3 CREDITORS ALLOWANCES JOURNAL OF PEARL TRADERS FOR MARCH 2021

Doc Day Creditor F Creditors Trading Stationery Sundry accounts


Control Stock

D/N Amount F Details

25
1.2 CREDITORS LEDGER MARKS: 8

CREDITORS LEDGER OF PEARL TRADERS FOR MARCH 2021

JADE TRADERS CL 1

Date Details Fol Debit Credit Balance

1 Balance b/d 6 600

10

Total marks

44

26
ACTIVITY 2: GENERAL LEDGER MARKS: 30

GENERAL LEDGER OF THULANI PHARMACY

BALANCE SHEET ACCOUNTS SECTION

DEBTORS CONTROL
2020 2020
Nov 1 Balance b/d 19 000 Nov 30

TRADING STOCK

2020
Nov 1 Balance b/d 95 000

17

27
NOMINAL ACCOUNT SECTION

COST OF SALES

2020
Nov 1 Total b/d 105 000

Total marks

44

28
6. RECONCILIATIONS

ACTIVITY 1

1.1 Explain why the Creditors Control account balance and the Creditors list
total should be equal.

1.2 Corrections to the Creditors Control account

DETAILS DEBIT SIDE CREDIT SIDE


Balance on 1 October 2018 48 735
Credit purchases of stock 72 480
Journal credits 1 450
Bank and discount received 62 910
Total returns and allowances 3 510
Journal debits 2 250
Additional information (i)
(ii)
(iii)
(iv)
(v)
(vi)
TOTAL OF EACH COLUMN

Balance on 31 October 2018

29
1.3 CREDITORS' LIST ON 31 OCTOBER 2020
CREDITOR DEBIT CREDIT
Green Stores 14 255
Becker Ltd (13 505 

Suns Warehouse (5 685


Lamb Suppliers (8 940
Brown Stores (
ZZ Distributors (
Best Bakery (


1.4 Buhle wants to improve the management of his creditors. Provide TWO
internal control strategies that he can use to achieve his goal.

30
ACTIVITY 2

GENERAL LEDGER OF UZALO TRADERS


Dr. DEBTORS CONTROL ACCOUNT Cr.

DEBTORS LIST
DEBIT CREDIT
Total 33 132
G Gugu
F Fazlin
S Shaun
L Lucas
Balance

31
Dr. CREDITORS CONTROL Cr.

CREDITORS LIST
DEBIT CREDIT
Total 24 026
G Gugu
Bongani Suppliers
Balance

32
7.WAGES AND SALARIES JOURNAL

ACTIVITY 1

Complete the following table:

Year Annual increase Annual salary Monthly salary


2016
2017
2018
2019
2020

ACTIVITY 2
SALARY JOURNAL OF KOK TRADERS FOR FEBRUARY 2021 SJ11
Gross
Employee Salary Deductions Employer’s contributions
Pension Medical Net salary EFT Medical Pension
PAYE aid UIF Total aid fund UIF SDL Total
B Mpanza
R Mahomed
N Naidoo
ACTIVITY 3: CONCEPTS AND SALARIES AND WAGES

3.1 Indicate whether the following statements are TRUE or FALSE

3.1.1
3.1.2
3.1.3
3.1.4
05
3.1.5

3.2 Calculate the missing amounts in the Wages Journal and the Salaries Journal
for May 2021.

3.2.1
3.2.2
3.2.3
3.2.4
3.2.5
.2.4
3.2.6
10

3.3.1 Provide the double entry for the Pension Fund contributions in the Wages
Journal. 2
DEBIT:

CREDIT:

3.3.2 The net salary calculated in 3.2.5 of the Salaries Journal would be posted to
Salaries Account in the ledger and which other account?

34
3.4 The owner Mr Thomas Ndebele decided that he would not pay the money over
for PAYE this month as he needed the cash. He will make a double payment the
next month. Why are you against the decision he took? Provide consequences
(result) for this action in ONE point.

Total Marks

21

35
YEAR-END ADJUSTMENTS

ACTIVITY 1
GENERAL LEDGER OF BJ TRADERS

DEBTORS CONTROL

BAD DEBTS

BANK

Effect on the accounting equation


Accounting equation
Account debit Account credit A OE L

36
ACIVITY 2

GENERAL LEDGER OF BJ TRADERS

Trading Stock

Trading Stock Deficit

GENERAL JOURNAL OF BJ TRADERS


Debit Credit

37
ACTIVITY 3
GENERAL LEDGER OF BJTRADERS

Trading Stock

Packing Material

Stationery

Consumable Stores on Hand

Trading Stock Surplus

38
ACTIVITY 4

Loan: Umgeni Bank

Interest on Loan

GENERAL JOURNAL ENTRY

DEBIT CREDIT

Effect on the Accounting Equation


Accounting equation
Account debit Account credit A OE L

39
ACTIVITY 5
GENERAL JOURNAL OF RADEBE TRADERS
Debit Credit
1

40
9. FINAL ACCOUNTS AND FINANCIAL STATEMENTS

ACTIVITY 1

DR TRADING ACCOUNT F1 CR

DR PROFIT AND LOSS ACCOUNT F2 CR

41
ACTIVITY 2
GENERAL LEDGER OF THEBE TRADERS ON 28 FEBRUARY 2021

Capital

Trading Account

Profit and Loss

POST-CLOSING TRIAL BALANCE OF THEBE TRADERS ON 28 FEBRUARY 2021

42
ACTIVITY 3: INCOME STATEMENT AND NOTES (44 marks)
AMANDA TRADERS
INCOME STATEMENT FOR THE YEAR ENDED 28 FEBRUARY 2021
Sales
Cost of Sales

Gross Profit
Operating Income

Gross Operating Income


Operating Expenses

Rent Expense
Bad Debts
Consumable Stores
Advertising

Operating Profit

Profit/Loss before interest expense

Net Profit for the year

40

43
ACTIVITY 4
ANDREWS TRADERS
INCOME STATEMENT FOR THE YEAR ENDED 28 FEBRUARY 2021
Sales (1 280 000
Cost of Sales ( 640 000

GROSS PROFIT
OPERATING INCOME

Discount Received 3 100


Rent Income (154 900

GROSS OPERATING INCOME


OPERATING EXPENSES

Water and electricity 35 400


Advertising 30 000
Bad Debts (11 300
Salaries and wages (184 000
Telephone (17 500
Stationery (23 200
Insurance (44 000
Discount Allowed (3 800
Bank charges (2 300

OPERATING PROFIT
Interest Income (4 200

PROFIT BEFORE INTEREST EXPENSE

NET PROFIT

TOTAL MARKS

……../45

44
ACTIVITY 5

5.1.1 VENUS TRADERS NOTES TO THE BALANCE SHEET

Note 2: INVENTORIES
Trading stock 310 000

Note 3: TRADE AND OTHER RECEIVABLES


Debtors control 48 700

Note 4: CASH AND CASH EQUIVALENTS

Petty cash 1 200

Note 5: CAPITAL

Balance at the beginning of the year


Additional capital

Note 6: TRADE AND OTHER PAYABLES

Trade creditors 55 600

45
5.1.2 BALANCE SHEET ON 28 FEBRUARY 2021
ASSETS Note R

Non-current assets
Fixed assets 1 191 200 1

Current assets

TOTAL ASSETS

EQUITY AND LIABILITIES

Owner’s equity

Non-current liabilities

Current liabilities

TOTAL EQUITY AND LIABILITIES


21

TOTAL MARKS

47

46
ACTIVITY 6: FINANCIAL STATEMENTS
1.1 MOLEFE BED SHOP
INCOME STATEMENT FOR THE YEAR ENDED 30 JUNE 2020
Sales (8 500 000
Cost of Sales
Gross Profit
Other Operating Income

Gross Operating Income


Operating Expenses
Salaries and wages 789 700
Fuel 613 100
Rates and taxes 32 100
Water and Electricity

Operating Profit

Net Profit for the year

54

47
6.2 NOTES TO THE FINANCIAL STATEMENTS

FIXED / TANGIBLE ASSETS


LAND AND
VEHICLES EQUIPMENT TOTAL
BUILDINGS
Carry value @ the beginning of
1 540 000
the year
Cost 1 540 000 240 000
Accumulated depreciation 0

MOVEMENTS
Additions at cost 0

Depreciation 0

Carry value @ the end of the


1 540 000
year
Cost 1 540 000
Accumulated depreciation

16

TRADE AND OTHER RECEIVABLES


Trade debtors (36 200

48
6.3 BALANCE SHEET ON 30 JUNE 2020

ASSETS R

Non-current assets
Fixed assets

Current assets
Inventories
Trade and other receivables

TOTAL ASSETS

EQUITY AND LIABILITIES

Owner’s equity
Capital (564 200

Non-current liabilities

Current liabilities
Trade and other payables 101 600

TOTAL EQUITY AND LIABILITIES

22

Total Marks

100

49
10. ANALYSIS AND INTERPORETATION OF FINANCIAL STATEMENTS

ACTIVITY 1

PROFITABILITY INDICATORS

A Percentage gross profit on sales

Calculation Answer

B Percentage gross profit on cost of sales

Calculation Answer

PROFITABILITY INDICATORS
C. Percentage net profit on sales

Calculation Answer

D. Percentage operating expenses on sales

Calculation Answer

E. Percentage operating profit on sales

Calculation Answer

50
ACTIVITY 2

LIQUIDITY RATIO:

Current ratio

Calculation Answer

Acid-test ratio

Calculation Answer

Solvency ratio:

Calculation Answer

Percentage return on owner’s equity

Calculation Answer

51
ACTIVITY 3

3.1 Calculate the percentage mark-up achieved by the business.

3.2 Give two reasons for the difference in the mark-up percentages.
Refer to information C

3.3 Calculate the percentage gross profit on sales.

3.4 Calculate the percentage net profit on sales.

3.5 List ONE reason for the decrease in percentage net profit on sales

3.6 Calculate the return on average owners’ equity.

52
3.7 Should the owner be satisfied with his percentage return? Explain.
Quoting financial indicators to support your answer.

3.8 Calculate the current ratio for 2021.

3.9 Calculate the acid test ratio for 2021.

3.10 Provide the reasons why is the trading stock subtracted when
calculating Acid test ratio.

36

53
ACTIVITY 4

4.1 CALCULATE THE MISSING FINANCIAL INDICATORS FOR 2021.

4.1.1 The percentage operating expenses on sales

3
4.1.2 Current Ratio

3
4.1.3 Acid-test Ratio

4
4.1.4 The percentage return on average equity

4.2 Explain whether Rebecca should be happy with the solvency of the business.

Quote indicator & trend:

Explanation:

3
4.3 Explain whether Rebecca should be happy with the liquidity of the business.
Quote TWO financial indicators and their trends in this case.

Quote indicators & trends:

Explanation:

4.4 Rebecca has change the mark-up % in 2021. Explain why Rebecca’s decision was
wrong. Quote figures to support your answer.

Quote indicator & trend:

Explanation (with figures):

4.5 Explain why Rebecca should be happy with the % return on equity. Quote ONE
financial indicators and their trends in this case.

Quote indicator & trend:

Explanation:

TOTAL MARKS

30

55
11. VALUE ADDED TAX

ACTIVITY 1

Indicate if the following are standard-rated, zero-rated or exempted supplies.


A. Passengers transport by taxi
B. Dried beans
C. A box of apples
D. Maize meal
E. Brown bread
F. White bread
G. Renting accommodation for use as a private home
H. A glass of milk served at a restaurant
I. Canned pilchards
J. Water and electricity

ACTIVITY 2

Complete the table provided below:

No Exclusive selling price VAT @ 15% Inclusive selling price


1 400 60 460
2 700
4 966
5 1 265
9 225

ACTIVITY 3

Complete the following table by calculating the amounts indicated by A – G.

No VAT exclusive VAT VAT inclusive


1 R3 000 R3 450
2 R22 500 R3 375
3 R3 750 R28 750
4 R1 260
5 R10 000

56
ACTIVITY 4 : CONCEPTS AND GENERAL JOURNAL
4.1 VAT CONCEPTS

4.1.1 Define the following concepts:


(a) VAT:

(b) VAT exempt items:

(c) Zero-rated items:

4.1.2 List TWO zero rated items by referring to the invoice provided.

4.1.3 Refer to the invoice and calculate the following missing figures :

(a) VAT amount

(b) Total amount of zero-rated items

12

4.2 VAT CALCULATIONS

Calculate the missing amounts denoted by (a) to (d).

VAT (INCLUSIVE) VAT (EXCLUSIVE) VAT AMOUNT


(a) R1 400 R210

R2 875 (b) (c)

R 8 050 (d) R1 050

57
4.3 VAT ETHICS

5.3.1 Is it ethical for Rakgetsi Traders to charge VAT on zero-rated items? Explain the
consequences/results of his action in ONE point.

4.3.2 Give ONE reason why you would agree that “the government is raising prices by
charging VAT”, and ONE reason why you would not agree with the statement.

Reason for agreeing

Reason for not agreeing:

25 marks

58
ACTIVITY 5:VAT (20 marks)

5.1 TRUE OR FALSE

5.1.1
5.1.2
5.1.3
5.1.4 4

5.2 Calculate the missing amounts

VAT (INCLUSIVE) VAT (EXCLUSIVE) VAT AMOUNT


(a) R1 300 R195
R2 760 (c) (b)
(d) R525
8

5.3.1 Calculate the VAT that the business must either pay or receive.

5.3.2 You discovered that the VAT amount was not being submitted on due
dates. On enquiry, it was discovered that the manager was using the
VAT money to pay for business expenses. Give ONE point of advice to
the manager and explain why you offer this advice.

ADVICE REASON

59
5.3.3 Mpumi, the owner, suggested to the bookkeeper that they charge VAT on
all goods sold (including the zero rated goods) but keep a separate journal
for the VAT payable to SARS.

Comment on this suggestion. Provide ONE point.

TOTAL MARKS

20

60
12. COST ACCOUNTING

ACTIVITY 1 : DIRECT / INDIRECT COSTS


 Indicate which costs are regarded as direct costs or indirect costs by placing a cross in the relevant
column.

Direct costs Indirect costs


Costs
Rent of factory
Wages of cleaners
Wages of employees who are directly involved in production
Insurance of the equipment used in the factory plant
Maintenance of the factory buildings
Cost of raw materials
Depreciation on factory equipment
Consumables issued to the factory

ACTIVITY 2 : PRODUCTION COSTS

Identify whether the following production costs are direct material cost, direct labour costs or factory
overhead costs. Tick the correct column.

Direct material Direct labour Factory overhead


Description of costs costs costs costs
Fabric used to make jackets
Cleaning materials
Salary of the Security guard
Wood used to make a chair
Wages of workers who assemble
(put together) a motor car.
Zips sewn into a pair of trousers
Rent of the factory premises
Salary of the factory supervisor
Pension fund contributions for the factory
workers.
Wages paid to workers who sew a
garment.
Insurance premiums for the factory.

61
ACTIVITY 3: FIXED AND VARIABLE COSTS

 Classify the costs by allocating a tick in the appropriate columns.

Fixed Variable
Cost costs costs
Rent
Raw material cost
Electricity
Insurance
Indirect labour costs
Depreciation
Cleaning materials
Indirect material costs

62
ACTIVITY 4: MANUFACTURING

4.1 MANUFACTURING CONCEPTS

4.1.1

4.1.2

4.1.3

4.1.4

4.2 MANUFACTURING CALCULATIONS

4.2.1 Calculate the Direct material cost

4.2.2 Calculate the Direct labour cost

4.2.3 Calculate the prime cost

63
4.2.4 Calculate the total production cost

4.2.5 Calculate the unit cost of one table

TOTAL MARKS

20

64
ACTIVITY 5 (30 marks; 25 minutes)

5.1 COST CONCEPTS

5.1.1
5.1.2
5.1.3
5.1.4 4

5.2.1 Calculate the costs per day. Show calculations clearly.

CALCULATIONS ANSWER
(i) Direct labour

3
(ii) Direct material

5
(iii) Factory overheads

5
(iv) Total production cost

2
(v) Cost per hamburger

2
(vi) Selling price per hamburger

65
5.2.2 Mandy is of the opinion that she can increase her profit by reducing certain
costs. She has targeted direct material cost and factory overheads.

Suggest TWO cost reduction measures for direct material cost and ONE
measure for direct labour cost that she can introduce.

Direct Suggestion 1:
material:

Suggestion 2:

Factory Suggestion 1:
overheads:

TOTAL MARKS

30

66
13. BUDGETS

ACTIVITY 1 : BUDGETS

1.1 BUDGET CONCEPTS

1.1.1
1.1.2

1.1.3

1.1.4
4

1.2 CALCULATIONS ON BUDGETS

1.2.1 Calculate the monthly salary salary received by Jane after deductions
2

1.2.2 Calculate the total income that will be received by Jane in December.
3

1.2.3 Calculate Jane’s monthly expenses . 3

67
1.2.4 Calculate the amount of money to be saved by Jane on monthly basis .
3

Will Jane have saved enough money including her annual bonus to pay for her
1.2.5 holiday in January 2021? Support your answer with a calculation. Indicate the 8
deficit/shortfall or surplus.

Payment for holiday

Deficit or Surplus calculation

Referring to her monthly expenses below, which two expenses could she cut
1.2.6
back on in order to increase her monthly savings? 2

TOTAL MARKS

25

68
ACTIVITY 2 (25 marks; 20 minutes)

2.1 Complete the sentence.

A budget is…

2.2 CALCULATIONS ANSWER


2.2.1 Total expected receipts (before calculating contributions of
players)

4
2.2.2 Total expected payments

PAYMENT ITEM: WORKINGS AMOUNT


Transport

TOTAL
12
2.2.3 The total cost to be covered by players.

3
2.2.4 The amount that EACH PLAYER has to contribute to the tour.

69
2.3 The tour organising committee expects certain key players to have difficulty in
meeting the minimum amount payable by each player.
Suggest TWO possible methods to acquire additional funds to support these
players.

TOTAL MARKS

25

70

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