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- The following balances were extracted from the books of Ongware traders as at 31st December 2015.
Calculate :
i) Current ratio
ii) Cost of goods sold
iii) Mark up
iv)...(Solved)
The following balances were extracted from the books of Ongware traders as at 31st December 2015
Sales during the year amounted to Ksh.2,000,000
Stock on 1st Jan. 2015 was shs.100,000
Stock on 31st Dec. 2015 was shs.200,000
Creditors shs.250,000
Bank overdraft shs.400,000
Cash in hand shs.150,000
Gross profit margin was 20%
Calculate :
i) Current ratio
ii) Cost of goods sold
iii) Mark up
iv) Rate of stock turnover
Date posted: September 5, 2019. Answers (1)
- Prepare a duly balanced three column cash book from the following information extracted from the books of Omwami traders.
Jan 1st Balance b/d cash sh.4,000, Bank...(Solved)
Prepare a duly balanced three column cash book from the following information extracted from the books of Omwami traders.
Jan 1st Balance b/d cash sh.4,000, Bank Sh.27,000
Jan. 4th Settled Olweny creditors account of shs.8000 by cheque having deducted 6% cash discount
Jan 8th Received shs.6,000 cash from Mutoma traders
Jan 16th Deposited shs.4,500 to bank account
Jan 24th Withdrew shs.9200 from bank for private use
Jan 29th Received shs.19950 from Kahawa by cheque after allowing 5% discount
Jan 31st Banked all the cash leaving shs.1500 in the office
Date posted: September 5, 2019. Answers (1)
- The following balance were extracted from the books of Nyachenge discount centre for the year ended 31st December 2010.Prepare a balance sheet as at 31st...(Solved)
The following balance were extracted from the books of Nyachenge discount centre for the year ended 31st December 2010
Cash ...........................................................20,520
Bank ...........................................................160,230
Premises .......................................................800,000
Debtors .........................................................40,000
Creditors....................................................... 40,000
2 year loan..................................................... 62,000
Stock ............................................................2500
Prepare a balance sheet as at 31st December 2010.
Date posted: September 5, 2019. Answers (1)
- Omwega traders had the following balances on 30th June 2009.
Prepare a trial balance for Omwega traders as at 30th June 2009.(Solved)
Omwega traders had the following balances on 30th June 2009.
Sales ................................................420,000
Motorvan .............................................300,000
Purchases.............................................240,000
Equipments ...........................................120,000
Debtors ...............................................80,000
Creditors............................................. 40,000
Expenses .............................................160,000
Capital ..............................................440,000
Prepare a trial balance for Omwega traders as at 30th June 2009.
Date posted: September 5, 2019. Answers (1)
- The following information relates to Undugu traders for the year ended 31st December 2015
Average stock .............................................50,000
Rate of stock turnover................................... 3 times
Mark up.................................................. 20%
From the above...(Solved)
The following information relates to Undugu traders for the year ended 31st December 2015
Average stock .............................................50,000
Rate of stock turnover................................... 3 times
Mark up.................................................. 20%
From the above information determine :
i) Cost of goods sold
ii) The gross profit
Date posted: September 5, 2019. Answers (1)
- The following information was extracted from the books of Zamzam traders as at 31st December 2015 ...(Solved)
The following information was extracted from the books of Zamzam traders as at 31st December 2015
...........................................Ksh
Purchases............................... 70,000
Sales ..................................170,000
Stock (1 Jan 2015)..................... 20,000
Capital............................... 240,000
Bank overdraft ........................145,000
Cash .................................3,000
Discount allowed..................... 5,000
Discount received ....................7,000
Return outwards ......................5,000
Return inwards .......................4,000
carriage on purchase .................2,000
Rent and rates ......................30,000
Commission received ..................2,200
Machinery ...........................40,000
Motor vehicles ......................70,000
Debtors ............................20,000
Creditors ..........................30,000
Drawings ...........................70,000
Wages and salaries ..................200,000
Additional information:
i) Stock on 31st Dec. 2015 was 15,000
ii) Wages and salaries accrued at 31st Dec. 2015 Kshs 10,000
iii) Prepaid rates shs 6,000
iv) Provide depreciation as follows;
Machinery shs 4,000
Motor vehicle 10% on cost
v) Drawings of stock 2,000/=
Required:
Prepare Zamzam traders trading, profit and loss account for year ended 31st Dec 2015.
Date posted: September 5, 2019. Answers (1)
- Journalise the following transactions through a general journal.
Jan 1 Sold an old typewriter on credit to Githumu academy worth shs 53,000
Jan 6...(Solved)
Journalise the following transactions through a general journal.
Jan 1 Sold an old typewriter on credit to Githumu academy worth shs 53,000
Jan 6 Bought an old sofa set on credit from Murata Sacco, for shs 8,000
Jan 10 Proprietor converted his personal saloon car for business use worth Kshs 150,000
Jan 12 Paid wages shs 6,000 cash.
Date posted: September 5, 2019. Answers (1)
- The table below shows the demand and supply schedules for product A in a week.Using the information given in the table above, draw the demand...(Solved)
The table below shows the demand and supply schedules for product A in a week.
Using the information given in the table above, draw the demand and supply curves showing the market equilibrium for the product.
Date posted: September 5, 2019. Answers (1)
- The following information relates to Gakarara traders for the year 2015. ...(Solved)
The following information relates to Gakarara traders for the year 2015.
.......................................................shs
Net sales ...........................................320,000
Margin............................................... 25%
Expenses .............................................35,000
Rate of Stock Turnover................................ 6 times
From the information above,calculate
i) Gross profit
ii) Cost of goods sold
iii) Net profit
Date posted: September 5, 2019. Answers (1)
- Record the following transaction in the cash book below. Duly balanced.
On 1st Jan 2015, Mugo traders had shs 22,500 in cash and shs 250,000...(Solved)
Record the following transaction in the cash book below. Duly balanced.
On 1st Jan 2015, Mugo traders had shs 22,500 in cash and shs 250,000 at bank. During the month, the following transactions took place.
5th Jan Received a cheque of shs 45,250 form Wacu traders in full settlement of her debt after allowing a 5% cash discount.
25th Jan Paid Kandara traders shs 15,000 cash after deducting a cash discount of shs 600.
30th Jan Deposited all cash into the bank except shs 500.
Date posted: September 5, 2019. Answers (1)
- Identify the type of ledger appropriate for the following accounts.(Solved)
Identify the type of ledger appropriate for the following accounts.
Date posted: September 5, 2019. Answers (1)
- Compute the missing figures and fill in the blank spaces.(Solved)
Compute the missing figures and fill in the blank spaces.
Date posted: September 5, 2019. Answers (1)
- Identify the term of payment associated with the following statements.(Solved)
Identify the term of payment associated with the following statements.
Date posted: September 5, 2019. Answers (1)
- Name the factor of production associated with each of the rewards listed below.(Solved)
Name the factor of production associated with each of the rewards listed below.
Date posted: September 5, 2019. Answers (1)
- The following diagram represents equilibrium price and quantity for a market. Outline four effects of a shift in demand curve to the left.(Solved)
The following diagram represents equilibrium price and quantity for a market. Outline four effects of a shift in demand curve to the left.
Date posted: September 5, 2019. Answers (1)
- Indicate in the table the type of advertisement described.(Solved)
Indicate in the table the type of advertisement described.
Date posted: September 5, 2019. Answers (1)
- The following transactions relate to Mamboleo Retailers for the month of September 2014
Sept 3 Sold goods on credit to Bukachi sh.14000 and Janet sh.18000
Sept 9...(Solved)
The following transactions relate to Mamboleo Retailers for the month of September 2014
Sept 3 Sold goods on credit to Bukachi sh.14000 and Janet sh.18000
Sept 9 Bought goods on credit from Shaban Traders sh.45000
Sept 14 Bukachi returned goods worth sh.2500
Sept 18 Purchased goods on credit from Nambaka sh.36000 and Janet sh.1200
Sept 22 Goods worth sh.7000 were returned to Shaban Traders and goods worth sh.4000 to Nambaka
Sept 24 Sold goods on credit to Bukachi sh.9000
Sept 26 Goods returned by Nehemiah sh.3000
Sept 30 Bought a generator worth sh.450,000 on credit from Dynomite power company
Required :
Prepare the relevant journals.
Date posted: September 5, 2019. Answers (1)
- The following balances were extracted from the books of Highway stores on 31st Dec. 2015(Solved)
The following balances were extracted from the books of Highway stores on 31st Dec. 2015
Items.................................................................... Shs.
Land and buildings ........................................................650,000
Stock...................................................................... 470,000
Bank overdraft.............................................................. 80,000
Debtors...................................................................... 350,000
Ten year loan................................................................ 500,000
Creditors ....................................................................220,000
Cash........................................................................ 50,000
Motor van .....................................................................150,000
Required :
i) Prepare a balance sheet for Highway Stores as at 31st Dec. 2015.
Date posted: September 5, 2019. Answers (1)
- The following information relates to Kembe Traders as at 31st December 2008
Rate of stock turnover 3 times
Mark up 20%
Opening stock sh.160,000
Closing stock sh.200,000
Required :...(Solved)
The following information relates to Kembe Traders as at 31st December 2008
Rate of stock turnover 3 times
Mark up 20%
Opening stock sh.160,000
Closing stock sh.200,000
Required : Determine
i) Gross profit
ii) Sales
Date posted: September 5, 2019. Answers (1)
- The table below relates to four different businesses, insert the correct values for A, B, C and D.(Solved)
The table below relates to four different businesses, insert the correct values for A, B, C and D.
Date posted: September 5, 2019. Answers (1)