a)-Deposits of any amount can be made at any time.
b)-Minimum cash balance must not be maintained in the account
c)-Withdrawal of any amount can be done without giving prior notice.
d)-Cheque books are issued to account holders to use as a means of payment
e)-Monthly statements are issued to the account holders.
f)- Overdraft facilities are allowed to the account holders.
g)-The account holder do not earn any interest on the account balance
Kavungya answered the question on September 26, 2019 at 11:26
- Tumetoka Mbali Traders maintains a petty cash book on imprest system with a float of kshs. 18,000. Reimbursement is usually made on the first day...(Solved)
Tumetoka Mbali Traders maintains a petty cash book on imprest system with a float of kshs. 18,000. Reimbursement is usually made on the first day of the week. The following payments were made on the first week of June 2012
June 1st: Received Shs. 2,000 for reimbursement
3rd :Bought stamps for shs. 400
4th :Bought stationery for shs. 1,000
5th : Bought sugar for shs. 580 and paid postage shs. 850
6th : Bought tealeaves for shs. 500 and stationery for shs. 650
7th : Paid ostrich a creditor shs. 5,500
7th :Received cash for reimbursement
Required;
Prepare a petty cash book duly balanced using the following analysis columns, stationery, postage, travelling, staff tea, miscellaneous and ledger accounts.
Date posted: September 26, 2019. Answers (1)
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Highlight five reasons why a country would be reluctant to adopt free trade policy with her trading partners.
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Explain five benefits that may accrue to a firm as a result of operating on large scale.
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...(Solved)
The following trial balance relates to Nthoi’s enterprise as at 31st December 2011
DR CR
Shs. Shs.
Drawings 60,000
Land + buildings 700,000
Cash in bank 115,000
Stock 1.1.2011 18,000
Purchases and Sales 500,000 1,000,000
Debtors and Creditors 46,000 92,000
Salaries and wages 85,000
Carriage inwards 9,000
Carriage outwards 12,000
Motor vehicles 400,000
Capital 909,000
Water and lighting 36,000
Insurance 40,000
Returns 0,000 50,000
2,051,000 2,051,000
Stock on 31st December 2011 was valued at kshs. 25,000.
Required; prepare Nthoi’s Trading Profit and Loss Account for the year ended 31st December 2011.
Date posted: September 26, 2019. Answers (1)
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State four factors that may positively affect the productivity of labour.
Date posted: September 26, 2019. Answers (1)
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i)Started the business with Kshs. 10,000 cash and Shs. 15,000 at the business bank account
ii)Paid Kavi a creditor...(Solved)
The following transactions relate to Ostrich Ltd.
i)Started the business with Kshs. 10,000 cash and Shs. 15,000 at the business bank account
ii)Paid Kavi a creditor Shs. 3,000 by cheque
Post the above transactions in the relevant ledger accounts
Date posted: September 26, 2019. Answers (1)
- The following balances were extracted from the books of Muli traders as at 31st March 2010
Shs.
Fixed Assets 200,000
Creditors 35,000
Current assets 110,000
4 year bank loan 150,000
Required;
Determine the net...(Solved)
The following balances were extracted from the books of Muli traders as at 31st March 2010
Shs.
Fixed Assets 200,000
Creditors 35,000
Current assets 110,000
4 year bank loan 150,000
Required;
Determine the net worth of the business as at 31st march 2010
Date posted: September 26, 2019. Answers (1)
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Outline four limitations of the circular flow of income.
Date posted: September 26, 2019. Answers (1)
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The following entries were made in the two column cash of Dot-com traders. Explain each of the entries.
Date posted: September 26, 2019. Answers (1)
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a)Owned by no one but the government
b)Produced to be used in the production...(Solved)
Identify the type of good described by each of the following statements
a)Owned by no one but the government
b)Produced to be used in the production of other goods.
c)Available in abundance as gifts of nature
d)Have monetary value and human effort is needed to obtain them
Date posted: September 26, 2019. Answers (1)
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Date posted: September 26, 2019. Answers (1)
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During month, the following transactions took place:
2011
June 2...(Solved)
On 1st June 2011, Nyati Traders had cash in hand of sh25,000 and sh56,200 at bank.
During month, the following transactions took place:
2011
June 2 Cash sales, sh42,000.
June 5 Received a cheque of sh70,500 from Butala Traders after deducting a 6% cash discount.
June 8 Paid salaries, sh24,000 in cash
June 9 Kivuitu settled his account of sh45,000 in cash and was allowed sh l,800 cas discount.
June 12 Cash sales sh46,500.
June 18 Paid Tuiei's debt of sh l00,000 by cheque after deducting 5% cash discount.
June 24 Withdrew sh26,000 from the bank for office use.
June 30 Banked all the cash except sh25,000.
Prepare a 3-column cashbook and balance it off on 30th June, 2011.
Date posted: September 26, 2019. Answers (1)
- The following balances relate to Msafiri Traders as at 31st December, 2012:
...(Solved)
The following balances relate to Msafiri Traders as at 31st December, 2012:
Sh.
Purchases 900,000
Stock, 1/1/2012 230,000
Buildings 1,200,000
Motor vehicles 750,000
Returns outwards 50,000
Debtors 190,000
Creditors 310,000
Loan from IDB 600,000
Cash at hand 130,000
Cash at bank 270,000
Drawings 100,000
Capital 1,840,000
Net profit 170,000
Stock, 31/12/2012 280,000
Expenses (including carriage inwards, shs 150,000) 250,000
REQUIRED:
i)Balance sheet as at 31st December, 2011.
ii)Calculate:
-Mark-up percentage.
-Return on capital employed.
Date posted: September 26, 2019. Answers (1)
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Recent data indicates that a large proportion of Kenya’s population comprises of the youth the ages of 10 to 20 years. State four benefits of this to the country.
Date posted: September 26, 2019. Answers (1)
- You are to enter up the purchases journal and the returns outwards journal from the following details
October 1.credit purchases from Helen sh20,000
2011 October 3. credit...(Solved)
You are to enter up the purchases journal and the returns outwards journal from the following details
October 1.credit purchases from Helen sh20,000
2011 October 3. credit purchases from the following;
Dan sh12,000,Tom Ksh13,300
2011 October 5.Goods returned by us to Tom sh300
Date posted: September 26, 2019. Answers (1)
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YEAR ...(Solved)
The following table shows the demand for sugar in a certain town between the years 2006 and 2010
YEAR Quantity Demanded In Tons
2006 50
2007 70
2008 85
2009 72
2010 65
State four factors that contributed to the trend in demand for sugar between 2008 and 2010.
Date posted: September 26, 2019. Answers (1)
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Sales ...(Solved)
The following information relates to MUSIKO traders for the year ended 31/12/2011
Sales Ksh800,000
General expenses ksh120,000
Commission income Ksh40,000
Margin 20%
Calculate
i)Mark-up percentage
ii)Net profit for the year ended 31/12/2011
Date posted: September 26, 2019. Answers (1)
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Highlight four reasons why all motor vehicles are required to have insurance cover.
Date posted: September 26, 2019. Answers (1)
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Redraft the following balance sheet correcting any mistakes.
Date posted: September 26, 2019. Answers (1)
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a)Delivery note
b)A debit note
c)An invoice
d)A statement of account(Solved)
Highlight the purpose of each of the following documents.
a)Delivery note
b)A debit note
c)An invoice
d)A statement of account
Date posted: September 26, 2019. Answers (1)