THE UNITED REPUBLIC OF TANZANIA PRESIDENT’S OFFICE REGIONAL ADMINISTRATION AND LOCAL GOVERNMENT

 ZONAL FORM FOUR MOCK EXAMINATIONS 

(NJOMBE, MBEYA, SONGWE, RUKWA AND KATAVI REGIONS)

062 BOOK KEEPING

TIME 3:00 HOURS YEAR: 2023

INSTRUCTIONS

1. This paper consists of sections A, B and C with a total of nine (09) questions.
2. Answer all questions in all sections
3. Section A carries fifteen (15) marks, section B carries forty (40) marks and section C carries forty-five (45) marks.
4. All writings should be in blue or black ink/pen except drawing which must be in pencil.
5. Non-programmable calculators may be used
6. Cellular phones and any unauthorized materials are not allowed in the examination room.
7. Write your Examination Numberon every page of your answer booklet(s).

SECTION A: (15 Marks)

Answer all questions

1. For each of the items (i) – (x) choose the correct answer from among the given alternatives and write its letter beside the item number.

(i) Which of the following chain is best defines the accounting cycle for a profit making organization?

1. Books of prime entry, source of documents, ledger, trial balance and financial statement.
2. Source of documents, Books of prime entry, ledgers, trial balance, income statement and statement of financial position.
3. Source of documents, ledger, Books of prime entry, trial balance, income statement,statement of financial position
4. Ledger, Trial balance, income statement, statement of financial position
5. Source of documents, Trial balance, income statement, statement of financial position [       ]

(ii) To find the value of closing stock at the end of a period we: ___________

1. Do this by stock taking
2. Divide stocks by two
3. Look in the stock account 
4. Deduct opening stock from cost of goods sold
5. Deduct cost of goods sold from sales [       ]

(iii) The credit entry for net profit is on the credit side of  . . . . . . . . .

1. Partners current account 
2. Partners capital account
3. Partners salary account
   
4. Profit and loss appropriation account
5. income statement [       ]

(iv) Carriage inwards TS added to the purchases in the income statement became:

1. It is an expenses connected with buying goods
2. It should not go in the statement of financial position
3. It is not part of motor expenses
4. Carriage outwards goes in the income statement as an expenses
5. E. It is purchases on credit 

(v) TZ S 500 cash taken from the cash till and banked is entered:- ___________

1. Debit cash column TZS 500: Credit bank column TZS 500
2. Debit drawings TZS 500: Credit cash column TZS 500
3. Debit bank column TZS 500: Credit cash column TZS 500
4. Debit cash column TZS 500: Credit cash column TZS 500
5. Debit bank column TZS 500: Credit bank column TZS 500 [       ]

(vi) Sales invoice are first entered in:- ________________________

1. The cash book 
2. The purchases journal 
3. The sales account
4. The sales ledger 
5. The sales journal [       ]

(vii) Give a purchases invoice showing 5 items of TZS 800 each, less trade discount of 2% and cash discount of 5% if paid within the credit period, your cheque would be made out for;- ______________________

1. TZS 2850 
2. TZS 2800 
3. TZS 2600 
4. TZS 3000 
5. None of these [       ]

(viii) The total of the purchases Returns Day book is transferred to:- ___________

1. The debit side of the purchases account
2. The credit side of the returns outwards account
3. The debit side of the returns outwards account
4. The credit side of the Returns outwards Book
5. The debit side of the purchases Returns Book [       ]

(ix) The two column cash book records

1. Cash and credit transactions 
2. Cheque, cash and trade discount
3. Cash and cheque transactions 
4. Cash transactions, cheque transactions and discount
5. Credit transactions, cash transactions and cash discounts [       ]

(x) A firm bought a machine for TZS 32,000. It is to bc depreciated at rate of 25% using the reducing balance method. What would be the remaining book value after 2 years? __________________

1. TZS 16,000 
2. TZS 24,000 
3. TZS 18,000
4. TZS 12,000 
5. Some other figures [       ]

2. Match the items in Column A against the correct response in Column B and write it beside the item number in the answer booklet(s) provided.

SECTION B: (40 marks)

Answer all questions

3. For the business of Costa, a wholesale chemist, classify the following between “Capital” and “Revenue” Expenditure.

(i) Purchases of an extra van

(ii) Cost of rebuilding a warehouse wall which had fallen down

(iii) Building extension to the warehouse

(iv) Painting extension to warehouse when it is first built

(v) Carriage costs on bricks for the new warehouse extension

(vi) Carriage costs on purchases

(vii) Carriage costs on sales

(viii) Legal costs of collecting debts

(ix) Legal costs on acquiring new premises for office

4. On 1^st January 2019, Mpakasi started up a new business. During the year ended 31^st December the following debts were found to be bad and were written off on the dates shown below 5^th April 2019 Mawazo Tshs.25, 000/- 30^th July 2019 Madaha Tshs. 54,000/- On 31^st December 2019, the total debtors amounted to Tshs. 1,500,000/- and

after an examination it was decided to provide a provision for doubtful debts of Tshs. 140,000/- Required: prepare the following;

(a) Bad debts Account

(b) Provision for bad debts Account

(c) Statement of financial position extract

5. On 31^st Dec 2020 the cash book balance of Jesca was tsh 54,300 while bank statement received from his bank showed a balance of TZs 92,400 , also found that:

(a) During December, the bank had paid TZS 20,000 for a yearly contribution of Jesca, made to Iftikhary volleyball club as per his standing order. This amount appeared in the bank statement but not in the cash book.

(b) The bank had credited his account withTZS 2,800 interest and had collected on his behalf TZS 23,000 as dividend no corresponding entries were made in the cash book.

(c) A cheque of TZS 6,500 deposited into bank on 28th December 2017 was not cleared bythe bank till after 31th December a cheque drawn and posted to credit by Tadei on 31th December 2017, TZS 38,000 was not presented for payment until 3^rd January 2018.Required: Prepare a bank reconciliation statement starting with the balance as bank statement.

6. Bookkeeping involves the recording, on a daily basis, of a company’sfinancial t ransactions whether on single entry system or double entry system.And because of bookkeeping, a companyis able to track all information on its books to make key operating, investing, and financing decisions. Explain fiveadvantages of double entry system over single entry system in book keeping.

SECTION C: (45 MARKS)

Answer all questions

7. Draw up a profit and loss appropriation account, and the partners current account for the year ending 31^st DEC 2005; from the following:-

(i) Net profit shs. 184,800/=

(ii) Interest to be charged on capitals: Milembe Shs. 3600/=, Madete Shs. 2700/=, and Minza Shs. 2100/=

(iii) Interest to be charged on drawings Milembe Shs. 1200/= Madete Shs. 900/= and Minza Shs. 500/=

(iv) Salaries to be credited: Madete Shs. 22,000/=; Minza Shs 28,000/=

(v) Profits to be shared: Milembe 55% Madete 25% and Minza 20%

(vi) Current accounts: Milembe Shs. 18000/=, Credit; madete Shs. 8000 credit; and Minza6000 credit.

(vii) Drawings: Milembe Shs 27,000/=; madete Shs. 23,000/= and Minza Shs 17000/=

8. The following information were extracted from the books of Dingo for the month of June 2020.

Purchases ledger balance as on 1^st June 2020;

• Debit . . . . . . . . . . . . . . . . . . . . . . . . . . . 350/-
• Credit . . . . . . . . . . . . . . . . . . . . . . . . . . . 18,460/-

Sales ledger balances as on 1^st June 2020:

• Debit . . . . . . . . . . . . . . . . . . . . . . . . . . .. 47,600/-
• Credit . . . . . . . . . . . . . . . . . . . . . . . . . . .1, 350/-

The following transactions took place during the month;

• Credit purchases . . . . . .. . . . . . . . 39,400/-
• Credit sales . . . . . . . . . . . . . . . . . . . . . . . . . 68, 940/-
• Cash sales . . . . . . . . . . . . . . . . . . . . . . . . . 20,600/-
• Cash purchases . . . . . . . . . . . . . . . . . . . . . . .  4,400/-
• Returns inwards . . . . . . . . . . . . . . . . . . . . 2,500/-
• Returns outwards . . . . . . . . . . . . . . . . . . . . . . 890/-
• Receipts from credit customers . . . . . . . . . . . . . . . . . 52,600/-
• Payments to trade creditors . . . . . . . . . . . . . . . 38,640/-
• Discount received . . . . . . . . . . . . . . . . . . . . . . 4, 750/-
• Discount allowed . . . . . . . . . . . . . . . . . . . . . . 6,990/-
• Bad debts written off . . . . . . . . . . . . . . . . . . . . 1,240/-
• Interest charged to debtors . . . . . . . . . . . . . . . . 360/-
• Debtors cheques dishonored . . . . . . . . . . . . . . . 870/-
• Purchases ledger credit transferred to sales . . . . . . . . . . . ... 1,230/-
• Purchases ledger balance on 30^th June 2020 (DR) . . . . . . . . . .480/-
• Sales ledger balances on 30^th June 2020 (CR) . . . . . . . . . . . 1,690/-

Required: From the above information prepare the Sales and Purchases ledger control accounts for the month of June 2020.

9. The following is the receipts and payments account of Wababe Football Club for the year ended 31^st December 2015.

Dr Receipts and Payments Accounts Cr

Additional information on 31^st December 2015:

(i) The club consists of 200 members paying annual subscription of TZS 2,000 each and only 180 members had paid their subscription fully while 10 had paid for 2016.

(ii) Wages outstanding amounted to TZS 8,000; insurance prepaid TZS 6,000; stock of unused stationery TZS 2,500.

Required: Prepare income and expenditure statement and statement of financial position.

PRESIDENT’S OFFICE REGIONAL ADMINISTRATION AND LOCAL GOVERNMENT

KAGERA REGIONAL MOCK

BOOK-KEEPING FORM FOUR-JULY-2023

INSTRUCTIONS

1. This paper consists of section A, B and C with total of 11 Questions
2. Attempt all questions from section A and B and two questions from section C.
3. Section A consists of 16 marks, section B 54 marks and section C 30 marks
4. All writings should be in black and blue pen, drawings should be in pencil
5. Cellular phones and other unauthorized materials are not allowed in the exam room.
6. Write your exam number on every sheet of the answer sheet provided.

 SECTION A (15 Marks)

Answer all questions in this section.

1. For each of the items (i) - (x), choose the correct answer from the given alternatives and write its letter beside the item number in the answer sheet provided:

(i) When provision for bad debts account is charged, what will be the entry in the books of account?

1. Debit profit and loss (income statement) and credit provision for bad
2. Credit profit and loss account (income statement) and debit provision for bad debts
3. Debit provision for bad debts and credit statement of financial position
4. Credit provision for bad debts account and debit debtors account
5. Debit debt Qr account and credit bad debts account

(ii) A petbook cashier is given Tsh. 20,000 on 1st January 2019, during the month Tsh. 16,000 4008/=is spent. What will be reimbursed at 31 ^st January 20197

1. 4,000
2. 16,000
3. 36,000
4. 20,000
5. Nothing

(iii) A monthly or quarter summary which the bank sends to its customers

1. Payment statement
2. Bank overdraft
3. Bank statement
4. Cheque statement
5. Bank reconciliation statement

(iv) Which of the following is the source of Government revenue?

1. Taxation, fees and salaries
2. Taxation, license and roads maintenance
3. Taxation, interest from investments, grants and aids
4. Grants, taxation, dividends from investment, consolidated fund
5. Taxation license fees, and interest paid

(v) When fixed method of capital is maintained, what happens in partners' capital account ?

1. The partners' capital amount stays fixed
2. The partners' capital amounts increase
3. All increase to partners' capital amounts is shown in partners' capital account
4. Partners' Current account IS not shown
5. Partners' profit and loss appropriation is maintained

(vi) What is the method used to share profit and losses where there is no partnership agreement?

1. In the same proportion as capital
2. Equally
3. In the same proportions as partners' drawings
4. In the same proportions as current Accounts
5. Equally after adjusting capital balance

(vii) Identify the name of a statement prepared and sent by the consignee to the consignor showing the goods sold, price realized, expenses incurred, commission payable and the amount due from the consignee.

1. Proforma invoice
2. Account sale
3. Delivery note
4. Consianment note
5. Price fist

(viii) Which of the following statements describe the characteristics of a joint venture?

1. Equal sharing of profits and losses
2. It is a permanent association
3. It is a temporary partnership that ceases at the end of agreed venture period
4. It Control is an association is vested in of operations partnership and qroupsnot assets

(ix) Which account should partners prepare in order to share the profits or losses resulting from partnership business?

1. Profit and loss account
2. Capital account
3. Partners' profit and loss account
4. Current account
5. Profit and loss appropriation account

(x) A firm bought a machine worth TZS 3/200,000. It is to be depreciated at a rate of 250/0 using the reducing balance method. Calculate the remaining book value of the machine after two years.TSHS

1. 1,600,000
2. 1,800,000
3. 2,400,000
4. 2,600,000
5. 1,400,000

2. Match the items in Column A with the responses in Column B by writing the letter of the correct responses below the corresponding item number in the answer sheet provided:

SECTION B (40 Marks)

Answer all questions from this section.

3. Briefly explain the following Book-keeping terms;

a) Un presented cheque

b) Un credited cheque

c) Dishonored cheque

d) Bank reconciliation statement

e) Bank charges

4. Stanslaus Enterprises had prepaid rent at the beginning of the period amounting to TZS. 80,000 and TZS. 40,000 was accrued last year. During the year payment of TZS. 640,000 was made with respect to rent. It was established that at the end of the period prepaid rent should be TZS 120,000/=. The accountant of the company has been seemed to be unfaithfully to the company. This has made a company to review the recorded entries for Rent by using external auditor. Briefly explain any five advantages the company may get after auditing is done.

5. (a) The accounting information below, relates to accounting equation, which has given ASSETS, CAPITAL and LIABILITIES. Find the missing figure in each case.

(b) state the types of expenditure incurred in the following transactions:

1. Breakdown van purchased by Katakweba
2. Repairs of fruiter's van
3. The cost of installing a new machine
4. The cost of redecorating the building built two years ago
5. Wages of workmen on building an extension to the firm's factory

6. Required Prepare a subscription account and Insurance account, clearly showing amounts to be transferred to a statement of income and expenditure for the year 2020

SECTION C (45 Marks)

Answer all questions from this section.

7. Moon Secondary School decided to manufacture shirts for her students. The following information for year ended 31st December, 2022 extracted from the school were:

The following information are also available:

1. 80% of opening and closing balance of work in progress is for prime cost and the rest being factory' overhead.
2. 20% of rent and rates is for non-factory overheads

(iii) 1/3 of insurance, water and lighting is chargeable to administration overheads.

(IV) 50% of wages and salaries is chargeable as factory cost

Required:

(i) Prepare the statement showing the total prime cost incurred

(ii) The total factory overhead incurred

(iii) The total factory production cost

8. 1,000 cases of goods costing TZS 350,000 were sent on consignment by ABC ltd to XYZ ltd On January 2022. At the time ABC ltd Paid delivery expenses of TZS 10,000 and insurance of 2,000. On 1st March 2022 an interim account sales were received from XYZ ltd showing the 800 cases had been sold for TZS 630/= each and that storage charges of shs.18,000/= and selling expenses of TZS 10,000/= had been deducted from the account. After also deducting the commission on sales which was agreed at 5% of gross sales, XYZ ltd settled the balance due to ABC ltd for goods sold by a bank draft.

You are required to prepare:

(a) Goods sent on consignment account

(b) Consignment account

(c) Account sales statement

9. The following are financial transactions in the books of CHAKUBANGA LTD:

On 1^st January 2020 bought machinery worth Tshs. 500,000

On July 2021 bought machinery cost Tshs 500,000 and another worth Tshs. 400,000

On 1 ^st October 2022 sold the second machinery bought on 1^st July 2021 for Tshs 420,000 It is the policy of the company to charge provision for depreciation at 10% on cost of non-current assets on the basis of month ownership. The company prepares the books of account at the end of 31.12 each year. Required

(i) Machinery Account for 2020, 2021 and 2022

(ii) Provision for depreciation account for 2020, 2021 and 2022

(iii) Machinery disposal account for 2022

THE UNITED REPUBLIC OF TANZANIA REGIONAL ADMINISTRATION AND LOCAL GOVERNMENT

DODOMA REGION

FORM FOUR MOCK EXAMINATIONS . 2023

062  BOOK .KEEPING

TIME: 3 Hours  August, 2023

Instructions: 

1. This paper consists of sections A, B and C with total of nine (9) questions.
2. Answer all questions in section A, B and C
3. Non .programmable calculators may be used
4. Cellular phone and any unauthorized materials are not allowed in the Examination room
5. Write your registration number on every page of your answer sheet(s)

SECTION A: (15 Marks)

Answer all questions in this section

1. For each of the following items (i) – (x), choose the correct answer from among the given alternatives and write its letter beside the item number in the answer booklets(s) provided.

(i) A firm bought a machine for TZS 50,000/= it expected to be used for 6 years and then sold for the TZS 5,000/=. What is the annual amount of depreciation if the straight line method is used?

1. TZS 7,500/=
2. TZS 7,000/=
3. TZS 6,500/=
4. TZS 6,750/=
5. TZS 5600/=

(ii) If stock at the year .end is undervalued, gross profit will be:

1. Under stated
2. Over stated
3. Only affected next year
4. Not affected
5. Over valued

(iii)When preparing a control account the total of returns in wards for the month should be entered on:

1. Debit side of purchases ledger control account
2. Credit side of purchases ledger control account
3. Debit side of sales ledger control account
4. Credit side of sales ledger control account
5. Debit side of private ledger control account

(iv). The balances in the purchases ledger are usually:

1. Contras
2. Debit balances
3. Normal accounts balances
4. Real account balances
5. Credit balances

(v) Given closing debtors of TZS 65,220, sales TZS 50,000 and receipts from debtors of TZS 44,000, the opening debtors should have been:

1. TZS 60,220/=
2. TZS 65,220/=
3. TZS 109,220/=
4. TZS 59,220/=
5. TZS 94,000/=

(vi) A provision for bad debts is created:

1. When debtors become bankrupt
2. When debtors cease to be in business
3. To provide for possible bad debts
4. To write .off bad debts
5. To reduce the amount of bad debts in bad debt account

(vii) Statutory audit is

1. audit performed by an internal auditor
2. audit required by law
3. an auditor who is also the controller and the Auditor General
4. audit which is done by unqualified auditor
5. Law’s auditing.

(viii) The bank reconciliation statement is a statement

1. sent by the bank when the account is overdrawn
2. drawn by us to verify our cash balance with the bank statement balance
3. drawn up by the bank to verify the cash book
4. sent by the bank when we have made an error
5. Prepared by the bank.

(ix) Which of the following would not be considered as a part of the prime cost?

1. Office manager’s wages
2. Direct labour costs
3. Raw materials used
4. Freight on raw materials
5. Royalties

(x) The document issued by a bank to inform its customers of their financial state of affairs is referred to as:

1. Cash book
2. Cheque book
3. Bank statement
4. Cheque book
5. Unpresented Cheque

2. Choose the correct term from List B which matches with the explanation in List A and write its letter below the number of corresponding explanation in the answer sheet provided

SECTION B: (40 Marks)

Answer all questions in this section

3. Source documents are detailed documents from which information to be entered in the subsidiary books are extracted, and because of these documents, a business owner is able to track all daily transactions to be recorded in the books of prime entry prior to be posted to the respective ledger. Outline five documents used in book keeping.

4. Briefly explain the meaning of the following terms:

a. Book keeping

b. Double entry system

c. Business entity concept

d. Trial balance

e. Discount allowed

5. By using the “principle of double entry system”, formulate business transactions in order to be valid against accounts to be debited and credited given in the table below:

6.The following information relate with transactions from the books of Mtumzima Enterprises on the date shown:

• 1st Jan 2017 31st Dec. 2017
• Commission received outstanding 420,000 320,000
• Commission received in advance 550,000 120,000
• A total of TZS 1,870,000 cash was received during the year

Required: You are required to prepare Commission received account showing amount to be transferred to income statement.

SECTION C (45 marks)

Answer all questions in this section

7.(a) The following information was extracted from the records of WAHENGA ltd for the month of June 2018. Using the information to prepare the sales ledger control account of WAHENGA ltd for the month of June 2018 At June 1:

• Sales ledger debit balance . . . . . . . . . . . . . . . .381,600
• Sales ledger credit balance . . . . . . . . . . . . . . .2,200

Transaction during the month;

• Cash received . . . . . . . . . . . . . . 10,400
• Cheques received . . . . . . . . . . . . . . . . . . . . . . . . . . .623,900
• Sales . . . . . . . . . . . .709,000
• Bad debts written off . . . . . . . . . . . . . . . . . . . . . . .30,000
• Discount allowed . . . . . . . . . . . . . . . . . . . . . . . . . . . .29,800
• Returns inward . . .66,400
• Cash refunded to a customer who had been paid his account . . . . . . . . . .3,700
• Dishonoured cheques . . . . . . . . . . . . . . . . . . . . . . . .2,000
• Interest charged on customers overdue debts . . . . . . . . . . . . . . . . . . . . . . . . . . .5,000
• Carriage charged to debtors . . . . . . . . . . . . . . . .6,400
• Set off against purchases ledger . . . . . . . . . . . .14,300

At June 30:

• Sales ledger debit balance . . . . . . . . . . . . . . . . . . .335,000
• Sales ledger credit balance . . . . . . . . . . . . . . . . . . . . . . .4,000

(b) On 1StJanuary2015, Mgema motors company ltd purchased motor lorry worth

Tzs 12,000,000. The company used the asset for three years. On 31stDecember 2017 the lorry was sold for Tzs 3,000,000. It is the policy of the company to compute depreciation using straight line method. Prepare the motor lorry account and provision for depreciation on motor lorry account for the first three years.

8.Bonga shoes ltd is a company that manufacturer s shoes. The following information was extracted from the company books for the year ended 31^stDecember 2019

Details.  Tzs.

Purchases of raw materials 800,000

Inventory of raw materials on 1^St January 2019. 400,000

Returns of raw materials to supplier 52,000

Plant and machinery depreciation. 350,000

Inventory of raw materials on 31^St December 2019 50,000

Rent 944,000

Rates 865,000

Insurance 3,192,000

Water and lighting 83,000,000

Wages and salaries 10,184,000

Direct labour 6,436,000

Direct express 440,000

Power and heat 1,163,000

Factory maintenance 511,200

Work in progress 31 December 2019 963,400

Plant repairs 96,600 Internal transport expenses (factory) 175,000

Carriage on raw materials 195,000

Lubricant and fuel 512,000

Additional information

a) 20% of rent and rates is non . factory overheads

b) 45% of insurance, water and lighting are chargeable on administration

c) 50% of wages and salaries are chargeable as factory cost

Use the information provided to prepare statement of manufacturing cost for the year ended 31 December 2019.

9.Mayamiko, a sole trader, kept his books of accounts on single entry basis, the position of the business as at 31^st Dec 2019 was as follows:

Freehold premises . . . .10,000/=

Plant and machinery . . .6,000/=

Stock in trade . . . . . . . . .13,000/=

Sundry debtors . . . . . . .17,500/=

Sundry creditors . . . . . .18,750/=

Cash at bank . . . . . . . . . .35,000/=

At 1st January of that year his capital was TZS 55,000/= during the year his drawings amounted to TZS 5,000/= and the sales of private car realized TZS 2,000/= which he paid into the bank to the credit of the business current account.

Required –

Prepare the statement of affairs as at 31st December, 2019, showing the financial position of the business and Statement of profit and loss for year ended 31st December, 2019.

 PRESIDENT’S OFFICE REGIONAL ADMINISTRATION AND LOCAL GOVERNMENT 

MVOMERO DISTRICT COUNCIL

1. This paper consists of section A, B, and C with a total of nine (9) questions
2. Answer all questions.
3. Section A carries (15) marks, section B (40) marks and sectionC carries (45) marks.
4. Non programmable calculator may be used.
5. Cellular phones and unauthorized materials are not allowed in the examination room.
6. Write your Examination Number on every page of your answer booklet(s).

SECTION A (15 MARKS)

ANSWER ALL QUESTIONS N THIS SECTION

1. For each of the items (i) – (x) choose the correct answer from the among the given alternatives and write the letter beside the item number in the answer booklet provided.

1. A business has the cost of goods sold Tshs. 150,000/= and the mark up of 40%, calculate the amount of sales for the business
   1. TZS 102,000
   2. TZS 90,000
   3. TZS 60,000
   4. TZS 150,000
   5. TZS 210,000
2. A customer buys 100 items of TZS 5000 each and has been given a 25% cash discount, if he pays within 30 days. What amount would he pay within the discounting period?
   1. TZS 735,000 
   2. TZS 625,000 
   3. TZS 573,000 
   4. TZS 375,000 
   5. TZS 125,000

3. How is the capital for a non – profit marking organization described?
   1. Capital employed fund
   2. Capital supplied fund
   3. Accumulated fund
   4. Gross working capital fund
   5. Accumulated shares fund
4. Which is the main reason for admitting a new partner in partnership business?
   1. To gain more profit in the business
   2. To receive more salaries
   3. To help writing of bad debts
   4. To reduce the business loses
   5. To expand the business
5. Which item would appear under non – current liabilities in the statement of?

financial position

1. TZS 70,000, 8 – years loan from National Bank of Commerce
2. TZS 900,000 interest maturing in 10 – years’ time
3. TZS 50, 000 accrued expenses
4. TZS 80,000, 6 – loans from CRDB
5. TZS 20,000 credit sales

6. From the following categories of errors, identify the categories of error which affect its transaction is totally not recorded in the books

A. Casting errors

2. Errors of principle
3. Errors of omission
4. Errors of original entry
5. Errors of commission

7. Which of the following books of original entry is used to record a list of goods sold on credit?
   1. The sales return day book
   2. The purchases day book
   3. The sales day book
   4. The purchases return day book
   5. The discount received book
8. A business had an opening and closing stok balanced of TZS 57,000 and TZS 64,300 respectively. What is average stock
   1. TZS 19,100
   2. TZS 60,650
   3. TZS 5,000
   4. TZS 19,600
   5. TZS 18,600
9. Which documents is used to deposit money in the current account?
   1. Cheque book
   2. Paying in slip
   3. Bank statement
   4. General ledger
   5. Cash book
10. What would you consider to be the main source of government revenues?
    1. Royalties
    2. Penalties
    3. Taxes
    4. Interest
    5. Fees

2. For each of the item (i – x) match the description of government accounting terminologies in column in A with their corresponding name in column B by writing the letter of the correct response beside the item number in the answer booklet provided.

SECTION B (40 MARKS)

ANSWER ALL QUESTIONS IN THIS SECTION

3. Elaborate on the following accounting concepts
   1. Business entity concept
   2. Matching concept
   3. Double entry principle
   4. Money measurement principle
   5. Book-keeping

4. Business error is an internal mistake occurs in the business at the time of keeping records of business transactions. As a form four student what are the five (5) errors that do not disclose the trial balance agreement.
5. On 1^st January 2019 Ritta started business as a furniture deal with the following assets and liabilities

• Details TZS
• Cash in hand 20,000
• Cash at bank 80,000
• Furniture50,000
• Buildings 20,000
• Debtor : Fundi 50,000
• Sonjo 20,000
• Ritta owes TZS 30,000 to Charles and TZS 10,000 to john

Required: Open Journal proper to find capital and post to the ledger account.

6. On 1^stJanuary 2015 Mikuyu motors, purchased a motor lorry worth TShs.12,000,000/=.The company used the asset for three years. On 31^stDecember 2017the lorry was sold for 3,000,000/=.The policy of the company is to compute depreciation using straight line method.

REQUIRED; prepare

1. Motor lorry account
2. Provision for depreciation account

SECTION C (45 MARKS)

Answer all questions:

7. On 5^th JUNE 2019, M. Halima of Mwanza consigned 1,000 units of goods to J. Manyanya of Arusha, the cost price was Tshs800,000. M. Halima paid the following expenses:

• Carriage shs. 200,000
• Marine insurance 80, 000
• Freight shs 90,000

On 30^th June, 2019 J. Manyanya sent an account sale to M. Halima, showing that 600, units were sold for shs 1,200,000 and she incurred the following expenses.

• Carriage shs 150,000
• Import duty shs 45, 000
• Storage shs 50,000

Commission 80, 000

• Sales expenses 5000

Record the above transactions in the books of the consignor, showing the calculations of the unsold inventory

8. The following Trial balance has been extracted from the book of J. Solomon, Toy manufacturer as at 31^st December 2014.

J. Solomon 

Trial Balance as at 31^st December 4014 

Notes at 31.12.2014.

1. Inventory of raw materials 24,000; Inventory of finished goods 40,000/=; Work in progress 15,000.
2. Depreciation on productive machinery and administration computer at 10 per cent per annum on cost
3. Lighting Rent and insurance are to be apportioned: factory 5/6 Administration 1/6.

Required: Prepare statement of manufacturing for the year ending 31^st December 2014

9. Kaka and Dada both are famous sellers. They decided to put their talents and skills to mutual commercial advantages during the Ramadhan. They entered into a joint venture, to sell goods and share profit or loss equally after allowing 10% commission on sales. The transactions for the ventures are:

ADDITIONAL INFORMATION:

1. There was no accrual in respect of expenses and income
2. Kaka failed to sell some of the goods and took them at agreed value of value of 150,000/=

REQUIRED: Prepare

1. Joint venture account in the books of both parties
2. Memorandum joint venture account.

PRESIDENT'S OFFICE REGIONAL ADMINISTRATION AND LOCAL GOVERNMENT 

 KILIMANJARO REGION MOCK FORM FOUR EXAMINATION

CODE: 062 BOOK-KEEPING

TIME:3 HOURS MAY 2023

INSTRUCTIONS

1. This paper consists of section A, B and C With a Total of nine (9) questions
2. Answer all questions in section A , B and C.
3. Section A carries fifteen (15) Marks and B carry forty (40) marks and section C Carry forty five (45) marks.
4. Non programmable calculators may be used.
5. Cellular phone and any unauthorized materials are not allowed in the examination room.
6. Write your Examination Number on every page of your answer booklet.

SECTION A (15 Marks)

Answer all questions in this section.

1. For each of the following items (i) —(x), choose, the correct answer from the given alternative and write its beside the item number in the answer booklet provided.

i. In partnership business when the partners, decided to maintain Fixed capital account which account will be opened

1. Fluctuating capital account
2. Fixed capital account,
3. Current Account
4. Goodwill Account
5. Balance Sheet.

ii.Expenses of 100,000 were incurred on may 2020 but the amount paid on January 2021. The expenses amount included on in income statement of December 2020. Reveal which accounting concept?

1. Going concern concept.
2. Historical cost concept.
3. Accrual concept:
4. Materiality Concept.
5. Dual concept.

iii.Given opening balance of debtor control account TZS 1,500 , Credit sales 6,800 and receipts from debtors TZS 6,500 then the closing balance of that account should be:-

1. A. 13,300
2. 1800
3. 1500
4. 300
5. 8000

iv. Which of the following is a nominal account?

1. Bank overdraft
2. Advertising
3. Furniture and fittings
4. Bank account
5. Machinery Account.

v.Which of the following errors would be disclosed by the trial balance?

1. Over casting of sales account
2. Credit purhases omitted from the books.
3. Cash rent recorded from the books as rates
4. Motor expenses recorded in motor van account
5. Cash received from Asha recorded in Aisha account

vi. Given that a cash float TZS 200,000, if TZS 170,000 is spent in the period, how much will be reimbursed at the end of periods?

1. 200,000
2. 30,000
3. 170,000
4. 370,000
5. 160,000

vii.Which of the following would be considered as part of the prime Costs?

1. Office wages
2. Machine operators wages
3. Raw materials consumed
4. Manufacturing wages
5. Machinery depreciation

viii. Machinery bought on 1/1/2020 at TZS 200,000 and it depreciate at the rate of 10% per annum on reducing balance method. What will the costs of machinery after three years?

1. 54,200
2. 45,800
3. 162,000
4. 140,000
5. 160,000

ix. If a sale invoice shows 12 items of shs . 250 each, less trade discount 20 per cent and cash discount 5 per cent then what will be the amount paid within the credit period?

1. 3000
2. 2,280
3. 2,360
4. 2,440
5. 3,500

x. A club has 200 members paying annual subscription of TZS 500 for each member. It provided the following information: subscription received 98,000 , new equipment purchased 11,200, depreciation of equipment 8,500, general expenses 82,800. What would be surplus for the year.

1. 4000
2. 6000
3. 6700
4. 8700
5. 4500

2. Match the item in column A with the responses in column B writing the later of the correct response beside the item number.

SECTION B (40 Marks).

Answer all questions in this section

3. At l^st January 2018 the firm sundry debtors balance was TZS 50,000 While on 31^st december 2018 sundry debtors balance increased by 10,000. Bad debts written off during the year was TZS 4,000. The firm continues to charge 5% and 2% as the provision for doubtful debts and provision discount allowed respectively.

Required: Prepare the following for the financial year 2018

1. Bad debts Account
2. Provision for doubtful debts account
3. Provision for discount allowed account

4. From the following information extracted from the books of Songambele ,You are required to prepare the appropriate control account.

5. Assume you have been called by the school manager and He asked you to explain to him about the following auditing issues;

1. Meaning of auditing.
2. Four (4) types of auditor's report.

6. From the following cash book Prepare Trial balance as at 31^St January 2020.

SECTION C ( 45 Marks)

Answer all questions in this section

7. From the following information of KANJANJA Manufacturing, Draw up a Statement of Manufacturing Costs as at 31^st December 2019

Notes:Goods are taken to the warehouse at costs plus 10% Manufacturing profit at costs

8. Mwashida company ltd of Nairobi Consigned 1000 cases of goods to Mwanjaa of Moshi on 31^st January 2021, the cost of goods was TZS 300 Per case. The company paid, Carriage charges TZS 20 Per case, Insurance TZS 2000 for every 50 Cases and Freight charges TZS 30,000 for the whole consignment. On arrival at Moshi Mwanjaa paid Customs charges TZS 31,000, Warehouse charges TZS 15400 and CarriAg^ee on sales TZS 5,000. Mwanjaa was entitled to a Commission of 5% on Sales and del-credere

commission of 2% On sales. Mwanjaa Sold 500 cases at TZS 550 Per case and 450 case at TZS 500 Per case. On 31^st December 2021 the company received an Account sale for those transactions.

Required; In the books of Consignor prepare,

1. Consignment to consignee Account.
2. Mwanjaa Account.

9. Madam Shoka does not maintain a full set of books;however she keeps a cash book, which she finds adequate as she deals on cash terms only. The following summary was prepared from his cash book for the year 2018.

RECEIPTS AND PAYMENT ACCOUNT AS AT 30 DECEMBER 2018

The following additional information is also available.

1. On 1^st Jan 2018 Assets were , Stock in trade 5,040 , Furniture 2,500 , Premises 10,000,
2. On 31^st December 2018 Stock in trade were valued at 5,420.
3. Charge 10% depreciation on furniture and 15% on the motor car, no depreciation is to provided on premises.

Required:

• Draw up Madam Shoka 's Income statement for the year ended 31^st December 2018 and her statement of financial position as at that date.

UNITED REPUBLIC OF TANZANIA  PRESIDENT’S OFFICE

REGIONAL ADMINISTRATION AND LOCAL GOVERNMENT 

LINDI REGIONAL MOCK EXAMINATION

 FORM FOUR

062      BOOK KEEPING    MAY, 2023

Instructions          Time: 3 Hours

• This paper consists of sections A, B and C with a total of nine (09) questions
• Answer all questions
• Cellular phones and any unauthorized materials are not allowed in the examination
• Write your Examination Number on every page of your answer booklet(s)
• The use of non programmable calculators is allowed.

SECTION A (15 MARKS)

Answer all questions in this section

1. For each of the items (i)-(xv), choose the correct answer from among the given alternatives and write its letter beside the item number in the answer sheet provided

1. If sales is 20,000 and profit is 4,000, determine the amount of cost price

1. 13,600 
2. 12,000 
3. 16,000 
4. 12,900 
5. 20,600

2. Which book of prime entry records the sale or purchase of non-current Assets?

1. General journal 
2. Sales journal
3.  Purchases journal
4. Cash book
5. Sales return day book

3. If cash sale amount to Tshs 100,000/= paid direct into the bank account, the correct double entry will be to

1. Debit sales account and credit cash account by sh.100, 000
2. Debit cash account and credit bank account by sh.100, 000
3. Debit bank account and credit sales account by sh.100, 000
4. Debit bank account and credit cash account by sh.100, 000
5. Debit sales account and credit bank account by sh.100, 000

4. How much is to be reimbursed if a petty cashier has spent Tsh.189,00/=while his cash float is Tsh.200,000/=

1. Tsh,11,000/= 
2. Tsh 389,000/= 
3. Tsh,189,000/=
4. Tsh,200,000/=
5. Tsh,21,000/=

5. Working capital is a term meaning.

1. The excess of current liabilities over current liabilities
2. The excess of the current assets over the current liabilities
3. the excess of the current assets over non-current liabilities
4. The excess of current assets over non-current assets.
5. The excess of non-current Assets over current liabilities

6. From the following categories of errors, identify the category of errors which affect only one account

1. Casting errors.
2. Errors of principle
3. Errors of omission.
4. Errors of original entry.
5. Errors of commission.

7. In the business of C. Sangster, who owns a clothing store, which of the following is the capital expenditure?

1. Fixtures and New Van bought
2. Shop fixtures bought and wages of assistants
3. Wages of assistants and new van bought
4. Wages of assistants and Petrol for Van
5. Fixtures and salaries.

8. A bank reconciliation statement is a statement:

1. Sent by bank when the account are overdrawn
2. Drawn to verify cash book balance with the bank statement balance
3. Drawn up by the bank to verify the cash book
4. Sent by the bank to the customers when errors are made
5. Sent by the bank customers to the friends.

9. If two totals of trial balance do not agree, the difference must be entered in:

1. Real account
2. The trading accounts
3. A nominal account
4. The capital account
5. A suspense account

10. If we take goods for own use, we should

1. Debit drawings Account: Credit Purchase Account
2. Debit Purchases Account: Credit Drawings Account
3. Debit Drawings Account: Credit Inventory Account
4. Debit Sales Account: Credit Inventory account
5. Debit inventory Account: Credit Drawing Account

2. Match items in list A with responses in list B by writing the letter of correct responses

SECTION B (40 MARKS)

Answer all questions in this section.

3. (a)On 1^st of January, 2000 Jonas had a provision for doubtful debts of TZS 176,000. On 31^st December, 2000, the schedule of debtors amounted to TZS 2,480,000 and after an examination it was decided to make a provision for doubtful debts of 5%

Prepare:

Provision for doubtful debts account

(b)Jonas fades up with irrecoverable debts and asks for some help, as a commercial student, advice him the measures to be taken so as to minimize the risk of the bad debts. (5 points)

4. Zawadi consigned 200 boxes of medicines @100 per box to Tatu including the following expenses. Insurance 1,000, loading charges 1,600 and freight 1,400

An account sale was received from Tatu which showed that 160 boxes were sold by 200 per box including the following expenses. Clearing charge 1,000, Godown rent 400, and other selling expenses 1,600

Required; Prepare Consignment to Agent account

5. Momac Ltd provides for depreciation of its machinery at 10% per annum on cost by using straight line method; it charges Full year in the year of purchase but no provision is made in the year of disposal.

Financial statements are prepared annually to 31 December.

• 2005 January 1 Bought machine ‘A’ shs. 10,000/=
• July 1 Bought machine ‘B’ shs. 6,000/=
• 2006 March 31 Bought machine ‘C’ shs. 8,000/=
• 2007 Oct 7 Sold machine ‘A’ proceeds shs. 5, 500/=
• Nov 5 Bought machine ‘D’ shs. 12,000/=

Prepare:

The accumulated provision for depreciation account, for the period 1^st January 2005 to 31 December 2007

6. (a) MsMatokeo wonders why her trial balance has balanced but still there are some errors. Explain to her five (5) errors that do not affect the trial balance agreement.

(b) Indicate the accounts to be debited or credited from the following transactions

SECTION C (45 Marks)

Answer all questions in this section

7. (a) Mention any five reasons which may cause the cash book to differ with the Bank statement

(b) The following is the cash book and Bank Statement of GAPEX Ltd. for the month of June 1999

Cash book

Bank Statement

Required:

1. Adjust the cash book as at 30.6.1999
2. Prepare Bank Reconciliation statement as at 30.6.1999

8. Kyarunzi of Bukoba, Redchrisia of Shinyanga and Majuka of Arusha entered a joint venture. Kyarunzi and Redchrisia were both to supply some of the materials. Only Redchrisia and Majuka were to sell the finished goods. Profit are to be shared in the ratio

Kyarunzi:Redchrisia:Majuka= 3:2:1.

Details of the transactions were as follows:

1. Kyarunzi supplied materials costing Tzs 45,000
2. Redchrisia supplied materials costing Tzs 30,000
3. Kyarunzi paid wages worth Tzs 18,000
4. Kyarunzi paid storage expenses worth Tzs 4,000
5. Redchrisia paid for carriage Tzs 9,000
6. Majuka paid selling expenses worth Tzs 12,000
7. Redchrisia received Tzs 80,000 cash from sales
8. Majuka received Tzs 110,000 cash from sales

Required:

Prepare the required accounts and memorandum joint venture.

9. The following is a trial balance extracted from the books of a sole proprietor, Masanja as at 31^st December 2019

 The following additional information is provided:

1. Make a provision for depreciation of plant and machinery at 10% per annum and fittings at 15% per annum
2. Increase the provision for bad debts to an amount equal to 4% of sundry debtors
3. Prepaid insurance amount to 500/-
4. Rates accrued 400/-
5. Closing stock was 60,000/-
6. During the year Masanja took goods worth 2,000/- for his personal use

Required;

Prepare income statement for the year ending 31^st December 2019 and a statement of financial position as at that date.

 TANZANIA HEADS OF ISLAMIC SCHOOLS COUNCIL

 FORM FOUR INTER ISLAMIC MOCK EXAMINATION

062 BOOK KEEPING

(For Both School and Private Candidates)

Time: 3 Hours Tuesday, 13^th September 2022 a.m. 

Instructions

1. This paper consists of sections A, B and C with a total of nine (9) questions.
2. Answer all questions in sections A and B, and two (2) questions from section C.
3. Non programmable calculator may be used.
4. Cellular phones and any unauthorized materials are not allowed in the examination room.
5. Write Your Examination Number on every page of your answer booklet(s). 

SECTION A (20 Marks)

Answer all questions in this section

1. For each of the items (i) – (xv) choose the correct answer from the alternatives and write its letter beside the item number in the answer booklet(s) provided.

(i) Muzuli is considering selling goods on credit to Mulunji but before the exchange, Muzuli was looking for Mulunji’s financial statements. Why does Muzuli look for Mulunji’s financial statement?

1. To calculate Mulunji’s trade payable period
2. To find out how much Mulunji has spent on non-current assets
3. To know how much capital Mulunji had invested in his business
4. To seek if Mulunji experiences a high level of bad debts
5. To find out how much Mulunji has received from his trade receivable.

(ii) An insurance account shows an amount paid during the year TZS 200,000/= and prepayment at the end of the year TZS 40,000/=. Which amount appears in the insurance account to record the transfer to the Income statement?

1. Credit entry of TZS 160,000/-
2. Credit entry of TZS 240,000/-
3. Debit entry of TZS 160,000/-
4. Debit entry of TZS 240,000/-
5. Both debit and credit entries of TZS 160,000/-

(iii) You are to buy an existing business which has assets valued at: Building TZS 50,000/- motor vehicle TZS 15,000/- fixture TZS 5,000/- and Inventory TZS 40,000/-

You are to pay TZS 140,000/- for the business. This means that:

1. You are paying TZS 40,000 for Goodwill
2. Buildings are costing you TZS 30,000/- more than their value
3. You are paying TZS 30,000/- for Goodwill
4. You have made an arithmetical mistake
5. You are paying TZS 140,000/- for Goodwill.

(iv) Naomi a sole trader owns business premises near Ubungo Plaza. Which among the following expenditures she has to consider as revenue expenditure on premises?

1. Legal fees for purchases of premises
2. Purchases of premises
3. Re-painting of premises
4. Extension of premises
5. Selling of premises.

(v) Given figures showing: Sales 8200/= opening inventory 1300/=, closing inventory 900/= purchases 6400/= carriage on purchase 200/= the cost of goods sold figure is:

1. TZS 6,800/=
2. TZS 6,200/=
3. TZS 7,200/=
4. TZS 8,600/=
5. TZS 7,000/=.

(vi) Majumba pays his trade creditor by cheque. How does this affect a statement of financial position?

1. Cash at bank and creditor increase
2. Cash at bank decrease and creditors increases
3. Creditors decrease and cash at bank increases
4. Cash at bank and creditors decrease
5. Creditors decrease and capital increases.

(vii) All statements below are true about Kazukamwe’s business whose records are incomplete except:

1. Closing capital + Drawing – additional capital – Opening capital = Drawing
2. Opening capital + Net profit – Drawing = Closing capital
3. Assets + Liabilities = Capital
4. Cash sales + credit sales = Total sales
5. Business goods + Business cash used by the owner = Drawing.

(viii) Given a desired cash float of TZS 200,000 if TZS 146,000 is spent in the period, how much will be reimbursed at the end of period?

1. TZS 200,000/=
2. TZS 54,000/=
3. TZS 245,000/=
4. TZS 146,000/=
5. TZS 346,000/=.

(ix) Given a purchases invoice showing five items of TZS 8000 each. Less trade discount of 25 percent and cash discount of 5 percent. If paid within the credit period. Your cheque would be made out for:

1. TZS 28,500/=
2. TZS 28,000/=
3. TZS 26,000/=
4. TZS 10,000/=
5. TZS 30,000/=.

(x) What type of error is committed when an invoice of TZS 86,000/= is entered in the purchases journal as TZS 68,000/=?

1. Error of original entry
2. Error of principle
3. Error of compensating
4. Error of commission
5. Error of omission.

(xi) A book keeper has just finished compiling a trial balance whose debits and credit columns have not agreed. Which of the following would provide a temporary shelter for the difference? 

1. Control account
2. Cash account
3. Provision account
4. Appropriation account
5. Suspense account.

(xii) Given a factory raw material used amounted 4000/= manufacturing wages 1200/= and other direct expenses 400/= what would be the prime cost of the goods produced? 

1. TZS 4400/=
2. TZS 4800/=
3. TZS 5600/=
4. TZS 5200/=
5. Non-above.

(xiii) Jamal sent to Jamila 10 gallons of cooking oil on consignment basis, one gallon costing 25000/=. Jamila will be considered as:

1. Principal
2. Consignee
3. Seller
4. Consignor
5. Del-credere.

(xiv) Credit purchases of goods from Masha amounted 50,000/=. How would be recorded in the books.

1. Dr Masha a/c and Cr purchases a/c
2. Dr Goods a/c and Cr Masha a/c
3. Dr Purchases a/c and Cr Masha a/c
4. Dr Masha a/c and Cr Masha a/c
5. Dr Purchases a/c and Cr cash a/c.

(xv) An authority granted by the Minister of Finance and planning to transfer approved funds from one vote to another.

1. Vote
2. Virement
3. Voucher 
4. Appropriation
5. Grant.

2. Match the explanation of types of Audit in Column A with the correct type of Audit in Column B by writing the letter of the correct response beside the item number in the answer booklet(s) provided.

SECTION B (40 Marks)

Answer all questions in this section

3. Mr. Bungoma, an English language teacher at Kibohehe Secondary School seems to use the terms book-keeping and accounting interchangeably. Give four (4) points to explain to him on how you would help him on his problem.

4. Wakishua started business last week and bought goods from various suppliers. He is now planning to return some goods to some of his suppliers. What may be the possible reasons for this situation? (5 points)

5. The following details were extracted from the books of Munene sole trader for the month ended 31 March 2021:

Required:

From above information construct respective ledger and show the balances for next month.

6. The following is a summary of a cash book as presented by Shebila Co Ltd for the month of October

Cash book (Bank Column)

All receipts are banked and all payments are made by cheque. On investigation we discover the following:

(a) Bank charges of TZS 1360 entered on the bank statement have not been posted in the cash book.

(b) Cheque drawn amounting to TZS 2670 had not been posted and presented to the bank for payment.

(c) Cheque received totaling TZS 7620 had been entered in the cash book but not credited in the bank statement until 3^rd November.

(d) A cheque for TZS 220 for sundries expenses had been entered in the cash book as receipt instead of payment.

(e) A cheque received from Kipangala for TZS 800/= had been returned by the bank and marked, “no funds available”

(f) A standing order for a business rates installment of TZS 1500/= on 30^th October had not been entered in the cash book.

(g) All dividends received are credited directly to the bank account. During the month of October amount totaling TZS 420/= were credited by the bank but no entries were made in the cash book and also credit transfer of TZS 200/=.

(h) A cheque drawn for TZS 660/= for stationery had been incorrectly entered in the cash book as TZS 600/=.

(i) The balance brought forward in the cash book should have been TZS 7110/= not TZS 7610/=.

Required:

(i) Write updated cash book.

(ii) Prepare a bank reconciliation statement for the month of 31^st October.

SECTION C (40 Marks)

Answer only two (2) questions in this section

7. (a) The financial year of Sheila Co. Ltd ended on 31 December 2016. At 1^st Jan 2016 she had in use equipment with a total accumulated cost of TZS 135,620/= which had been depreciated by a total of TZS 81,374/=.

During the year ended 31 December 2016 Sheila Co. Ltd purchased new equipment costing for TZS 47,800 and sold off equipment which had originally cost 36,000/= and which had been depreciated by TZS 28,224/= for TZS 5700/=.

Sheila Co. Ltd is to depreciate its equipment at rate of 40% p.a. using the diminishing balance method.

A full year depreciation is provided for all equipment in use at the end of the year.

Required:

Show the following leger accounts for the year ended 31^st December 2016

(i) The equipment account

(ii) The provision for depreciation on equipment 

(iii) Equipment disposal a/c.

(b) From the following particulars relating to Taifa Jogging Club, prepare a receipt and payments account for the year ended 31^st March 2015.

8. The following trial balance was extracted from the book of Kibamba Enterprises on June 30^th 2020.

NOTE:

(a) - Stock 30/6/2020 Dept H -1100

- Stock 30/6/2020 Dept I - 900

(b) During the year goods costing 1200 were transferred from Dept. H.

(c) Medical expenses are outstanding by 200/=.

(d) Expenses and incomes should be apportioned to departments on the following basis:

(i) Rent – according to floor space.

(ii) Medical expenses - number of employees.

(iii) Rest - equally.

Required:

Prepare department income statement for the year ended 30^th June 2020 and statement of financial position as on that date.

9. Kaka and Dada both are famous sellers of dates. They decide to put their talents and skills to mutual commercial advantages during the Ramadhan. They therefore entered a joint venture to sell dates and share profit and losses equally after allowing 10% commission on sales made by each individual before a certain divisible profit and losses. The transactions for the joint venture were summarized as follow:

Additional information:

(i) There were no Accrual in respect of expenses and income.

(ii) Kaka failed to sell some of the dates and took them at agreed value of TZS 150,000/=.

Requried: Prepare

(a) A joint venture account in books of both parties.

(b) The memorandum joint venture a/c.

THE UNITED REPUBLIC OF TANZANIA PRESIDENT’S OFFICE, REGIONAL ADMINISTRATION AND LOCAL GOVERNMENT

MWANZA REGION JOINT EXAMINATION (BUTIMBA, NYEGEZI AND MKUYUNI WARDS)

FORM FOUR PRE - MOCK EXAMINATION-2021

033/1 BOOK-KEEPING

Time: 3 Hours        MAY, 2021

Instructions

1. This paper consists of three sections A, B and C with a total of 9 questions.
2. Answer all questions in section A and B and only two (2) questions from section C.
3. Section A carries twenty (20) marks, section B forty (40) marks and section C forty (40) marks.
4. Non programmable calculators may be used.
5. Cellular phones, and other authorized materials are not allowed in the examination room.
6. Write your examination number on every page of your Answer booklet(s).

SECTION A (20 MARKS)

Answer all questions in this section

1. For each of the items (i)-(xv), choose the correct answer from among the given Alternatives and write its letter beside the item number in the answer sheet provided

(i) If sales is 20,000 and profit make up is 25%, determine the amount of cost price

1. 13,600 
2. 12,000 
3. 16,000 
4. 12,900 
5. 20,600

(ii) Which book of prime entry records the sale or purchase of non-current Assets?

1. General journal 
2. Sales journal 
3. Purchases journal
4. Cash book 
5. Sales return day book

(iii) If cash sale amount to Tshs 100,000/= paid direct into the bank account, the correct double entry will be to

1. Debit sales account and credit cash account by sh.100, 000
2. Debit cash account and credit bank account by sh.100, 000
3. Debit bank account and credit sales account by sh.100, 000
4. Debit bank account and credit cash account by sh.100, 000
5. Debit sales account and credit bank account by sh.100, 000

(iv) How much is to be reimbursed if a petty cashier has spent Tsh.189,00/=while his cash float is Tsh.200,000/=

1. Tsh,11,000/= 
2. Tsh 389,000/= 
3. Tsh,189,000/= 
4. Tsh,200,000/= 
5. Tsh,21,000/=

(v) Working capital is a term meaning.

1. The excess of current liabilities over current liabilities
2. The excess of the current assets over the current liabilities
3. the excess of the current assets over non-current liabilities
4. The excess of current assets over non-current assets.
5. The excess of non-current Assets over current liabilities

(vi) Natasha and Ndengwe share profits and losses in the ratio 3:2. Their partnership recorded net profits of shs. 1,400, interest on capital shs. 420, partners’ salaries shs. 100 and drawings shs. 280, Determine Ndengwe’s share of the profits.

1. TZS 840 
2. TZS 560 
3. TZS 464 
4. TZS 696 
5. TZS 506

(vii) From the following categories of errors, identify the category of errors which affect only one account

1. Casting errors. 
2. Errors of principle. 
3. Errors of omission. 
4. Errors of original entry. 
5. Errors of commission.

(viii) In the business of C. Sangster, who owns a clothing store, which of the following is the capital expenditure?

1. Fixtures and New Van bought 
2. Shop fixtures bought and wages of assistants
3. Wages of assistants and new van bought 
4. Wages of assistants and Petrol for Van 
5. Fixtures and salaries.

(ix) Manufacturing account is used to calculate:

1. Production cost paid in the year 
2. Total cost of goods produced 
3. Production cost of goods completed 
4. Gross profit on goods sold 
5. Prime cost of goods manufactured

(x) Depreciation can be described as the : _______

1. Amount spent to buy a non –current asset
2. Salvage value of a non-current asset consumed during its period
3. Cost of the non-current asset consumed during its period
4. Amount of money spent replacing non-current asset
5. Cost of old asset plus new assets purchased

(xi) A bank reconciliation statement is a statement:

1. Sent by bank when the account are overdrawn
2. Drawn to verify cash book balance with the bank statement balance
3. Drawn up by the bank to verify the cash book
4. Sent by the bank to the customers when errors are made
5. Sent by the bank customers to the friends.

(xii) If two totals of trial balance do not agree, the difference must be entered in:

1. A real account 
2. The trading accounts 
3. A nominal account 
4. The capital account 
5. A suspense account

(xiii) The accounting equation is expressed in the financial statement called:

1. statement of financial position 
2. income statement 
3. expenditure statement 
4. reconciliation statement 
5. statement of change in equity

(xiv) If we take goods for own use, we should

1. Debit drawings Account: Credit Purchase Account
2. Debit Purchases Account: Credit Drawings Account
3. Debit Drawings Account: Credit Inventory Account
4. Debit Sales Account: Credit Inventory account
5. debit inventory Account: Credit Drawing Account

(xv) if a partnership maintains a fixed capital account, then the partner’s share of profits is:

1. Credited to the partner’s drawings account 
2. debited to the partner’s capital account 
3. credited to the partner’s capital account 
4. credited to the partner’s current account
5. debited to the partner’s current account

2. For each of the items (i)-( v) match the narrations of bank reconciliation Items in column A with their corresponding names in column B by writing the letter of the correct response beside the item number in the answer sheet provided

SECTION B (40 MARKS)

Answer all questions in this section.

3. In 1991 Mr. Chipepeto bought a motor car for the cost value of sh.8, 000,000/= with the aim of assisting him in business. But three years later he decided to dispose it for a book value of sh.6,700,000/=

1. What is the term used to mean the difference between cost value and book value.
2. Outline four reasons that could be the causes for him to dispose the car for less than the cost value.

4. The DSM Rotary club, has provided you with the following information:-

Required: Prepare A Subscription account and Insurance account, clearly showing amounts to be transferred to income and expenditure accounts for year 2001.

5. Define the following terms

1. Discount received
2. Invoice
3. Discount allowed
4. Carriage inwards
5. Carriage outwards

6. (a) Mr Kyamba wants to start a business, but before commencement he needs to learn book keeping. Outline five objectives for him to study book keeping.

(b) Briefly explain three types of a cash book.

SECTION C (40 MARKS)

Answer two questions only from this section.

7. Panguso& company limited own a manufacturing industry which had the following records for the year ended at 31st December 2007.

• Inventory at 1^st January 2007: raw materials sh.760, 000
• Finished goods sh 360,000
• Purchases of raw material sh.420, 000
• Sales of finished goods sh.2, 490,000
• Factory Fuel & power sh.320, 000
• Royalty sh.500, 000
• Depreciation of works machine sh.88, 000
• Market value sh.1, 800,670
• General office expense sh.10, 740
• Manufacturing wages sh.170, 000
• Inventory at 31 ^stDec 2007: raw material sh.900, 000
• Finished goods sh.580, 000
• Works in progress sh.734, 000

You are required to prepare

1. Statement of manufacturing costs for the year ended at 31 ^stDec 2007
2. Income statement for the year ended at 31.12.2007

8. XY Ltd provides for depreciation of its machinery at 20% per annum on cost; it charges for a full year in the year of purchase but no provision is made in year of sale/disposal.

Financial statements are prepared annually to 31^th December.2015 

• January 1 Bought machine ‘A’ 10,000
• July 1 2016 Bought machine ‘B’ 6,000
• March 31 2017 Bought machine ‘B’ 8,000
• October 7 Sold machine ‘A’ – proceeds 5,500
• November 5 Bought machine ‘D’ 12,000
• February 4 2018 Sold machine ‘B’ – proceeds 3,000
• February 6 Bought machine ‘B’ 9,000
• October 11 Exchanged machine ‘D’ for machine valued at 7,000

Prepare;

1. The machinery accountfor the period 1^st January 2015 to 31^st December 2018

2. The accumulated provision for depreciation on machinery account, for the period 1^st January 2015 to 31^st December 2018.

9. The financial of the GGM trading company ended on 30^th November 2014. You have been asked to prepare a total amount receivable and total amount payable for the draft final amounts. You are able to obtain the following information for the financial year the book of original entry.

Sales 

• Cash 344,890
• Credit 268,187

Purchase

•  Cash 14,440
• Credit 496,600

Total receipts from customers 600,570

Total payment to suppliers 503,970

Discount allowed to credit customer 5,520

Discount received from credit suppliers 3,510

Refund given to cash customers 5,070

Balance in sales ledger setoff against balance in the purchase ledger 700

Bad debt written off 780

Increase in the allowance for doubtful debts 900

Credit note issued to credit customers 4,140

Credit note received from credit suppliers 1,480

According to the audited financial statement for the previous year account receivable and account payable as to 1^st December 2013 were 26,550 and 43,450 respectively

Required;

Draw up the relevant total accounts entering end of year total for account receivable and account payable.