QUESTION 1 (45 marks) Lucky Star Limited is a company with a 30 June financial year-end. On 1 August 2021, Lucky Star Limited purchased a machine with a cost price of R3 500 000. The machine is expected to have a useful life of five years with no resid- ual value. Lucky Star Limited makes use of the revaluation model to account for machinery, and […]
Posted: October 22, 2024
Question 1 (Marks: 25) This question consists of three independent parts. Part A (5) The Financial Manager of First News Publications Ltd has come across the article below and has approached you for advice on the appropriate treatment of the event which has occurred after the year-end date of 29 February 2024. As the financial statements have yet to be authorised for issue, he wants to […]
Posted: August 13, 2024
QUESTION 1 (60 marks) Hydrocraft Ltd is a manufacturing company in the deep-sea exploration sector and the entity has a 31 December financial year end. The entity is the only entity in the country that specializes in the manufacture of deep-sea vessels (submersibles) for their customers, namely private tourist entities. The deep-sea vessels are manufactured using specialized machines and it usually takes approximately 24 months […]
Posted: March 28, 2024
QUESTION 1 (60 marks) Peak Performance Technologies Ltd (hereafter “PPT”) stands at the forefront of innovation and manufacturing of advanced sports equipment. The company has captured the market with its state-of-the-art products, pushing boundaries in both design and functionality. The financial extracts below detail the statement of financial position as of 30 June 2024 and figures from the statement of profit and loss and other […]
Posted: March 21, 2024
QUESTION 1 (40 marks) Queens (Pty) Ltd is a company with a 31 December year end. The company’s main business is the buying and selling of sports equipment. 2022 Financial year: On 1 March 2022, Queens (Pty) Ltd bought a property and paid R9 500 000 in cash for the property. The property was bought with the intention of keeping it for investment purposes and a […]
Posted: March 11, 2024
Question One In class, we have scoured the financial results of numerous JSE-listed South African public companies, including several chain store retailers. One of these, Pick n Pay Holdings Limited, operates Pick n Pay Clothing in 277 stand-alone clothing stores, as well as in 21 Hypermarkets and 163 Supermarkets. An entrant to this channel that may be considered “late to the party” is Shoprite Holdings […]
Posted: March 11, 2024
QUESTION 1 (20 MARKS) REQUIRED Use the information provided below to prepare the Statement of Comprehensive Income for the year ended 28 February 2023. FIESTA TRADERS PRE-ADJUSTMENT TRIAL BALANCE AS AT 28 FEBRUARY 2023 Debit (R) Credit (R) Balance Sheet accounts section Capital 2 520 000 Drawings 160 000 Land and buildings 1 800 000 Vehicles at cost 1 […]
Posted: November 8, 2023
QUESTION (25 marks) The Fix (Pty) Ltd, is a clothing retailer with a 30 June financial year-end. The June 2023 financial year-end annual financial statements were presented to the board of directors on 18 August 2023 for authorisation for issue. You are the accountant of The Fix (Pty) Ltd. The following events have taken place since the reporting date: Event 1: Flood damage During July […]
Posted: October 30, 2023
QUESTION 1 (53 marks) Cape Climate (Pty) Ltd is a company based in Cape Town that supplies residential and commercial air conditioners. The company has a June financial year-end. During the current financial year-end, Cape Climate (Pty) Ltd entered into a contract with a local restaurant franchise, called Pizza Perfect, to supply, install and maintain the air conditioners in all their restaurants across Cape Town. […]
Posted: October 19, 2023
