HOMEWORK for Friday 9 April 2021: Company Accounts (Q1, Q2) + MCQ J2020 (Q3)

 HOMEWORK FOR FRIDAY 9 April 2021. 

I will send you the ANSWERS on Friday 9 April 2021 and you mail me the CORRECTED ANSWERS on SATURDAY 10 April 2021.

This page contains 3 COMPULSORY questions.

QUESTION 1 (+Hints)

HINTS for Question 1:

Part (a) Search in Notes Given

Part (b)

You have been given in Note 2: ''Profit before Finance Cost = $125000'''

So your answer:

                                                                                                         $

Profit before Finance Cost                                                          125000

Less Fianace cost:

      Debenture Interest payable                                                     (xx)

      Redeemable Preference Dividend paid and proposed         (xx)

Profit for the year                                                                            xxx

Part (c)

       Statement of changes in Equity for the year ended 31 October 2009

	Ordinary         share ($)	General reserve ($)	Retained earnings ($)	Total ($)
Balance at 1 Nov 2008	x	x	x	xx
Profit for the year			x	xx
Transfer to General reserve		x	(x)	-
Ordinary dividend paid (.............. +  ...............)			(xx)	(xx)
Balance at 31 October 2009	x	x	x	312 400

Part (d)

Extract of statement of financial position at 31 October 2009

Equity and liabilities	$	$	$
Equity
Ordinary shares of $0.25 each		x
General reserve		x
Retained earnings		x
Total equity			312400
Non-current liabilities
10 % debentures		x
12 % redeemable preference shares of $1 each		x	150 000

Part (e)

Search for answer ...

QUESTION 2 (+Hints)

HINTS for Question 2:

a)

Search for Theory...

bi)

Interim preference dividend paid for 2014= dividend rate (%) x Non-redeemable Pref Shares ($)

                                                    = $ xx

Interim ordinary dividend paid for 2024= Dividend rate (per share) x Number of ordinary shares

                                                = $ xx

bii)

Interest on debentures = Debenture Interest rate (%)   x Debenture ($) 

                                      = $ xx

c)

Working for NOTE 6: 

Total preference dividend for 2014 = Dividend rate  (%)  x Non-redeemable Pref Shares ($)

                                                        =  $ xx

Final preference dividend paid for 2014 = Total NR.Preference dividend for 2014 – Interim N.R.Preference Dividend for 2014 (part b[i] ) = ..................   -   .....................

 

Statement of changes in Equity for the year ended 31 December 2014

	Ordinary         share ($)	Non-Redeemable Preference Share ($)	General reserve ($)	Retained earnings ($)	Total ($)
Balance at 1 Jan 2014	x	x	x	x	xx
Profit for the year				x	x
Transfer to General reserve			x	(x)	-
Ordinary dividend paid: Final for 2013 Interim for 2014				(x) (x)	(x) (x)
Preference dividend paid Final for 2013 Interim for 2014 Final for 2014				(x) (x) (x)	(x) (x) (x)
Balance at 31 Dec 2014	xx	xx	xx	xx	xx

QUESTION 3 (10 MCQs) - June 2020 Paper 12

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