THE UNITED REPUBLIC OF TANZANIA NATIONAL EXAMINATIONS COUNCIL OF TANZANIA 
CERTIFICATE OF SECONDARY EDUCATION EXAMINATION

062 BOOK KEEPING

(For Both School and Private Candidates)

Time: 3 Hours Year: 2021

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. Section A carries twenty (20) marks and section B and C carry forty (40) marks each
4. Non programmable calculators may be used.
5. Cellular phones and any unauthorised 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 booklet provided.

(i) What is the main reason for admitting a new partner in partnership business?

1. To gain more profits in the business. 
2. To receive more salary.
3. To help writing off bad debts. 
4. To reduce the business loses.
5. To expand the business.

(ii) 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 investment maturing in 10-years time
3. TZS 50,000 accrued expenses
4. TZS 80,000, 6-months loan from CRDB
5. TZS 20,000 credit sales

(iii) How can a Book Keeper use a Trial Balance?

1. To disclose all assets of the business at the trial balance date.
2. To disclose the financial position of a business at the year end.
3. To check the arithmetical accuracy of double entry records in the ledger.
4. To prove that the debit column amount is equal to the credit column amount.
5. To list all liabilities of the business at the Trial Balance date.

(iv) During the month of January, a petty cashier was provided with an opening cash float of TZS. 70,000. However, at the end of the same month the closing cash float balance was 15,900. How much should be reimbursed to the cashier at the,end of the month?

1. TZS 15,900 
2. TZS 70,000
3. TZS 54,100 
4. TZS 140,000
5. TZS 101,820

(v) Which of the following errors would be disclosed by the Trial Balance?

1. Selling expenses had been debited to sales account.
2. Credit sales of TZS 30,000 entered in the books as TZS 3,000.
3. Cheque for TZS 95,000 from C. Jones entered in C. Jones account as TZS 59,000.
4. purchase of goods worth TZS 250 omitted from the books.
5. Cheque for TZS 25 from J. Moses was omitted from the books of account.

(vi) What is the purpose of the provision for doubtful debts account in the business?

1. To write off bad debts. 
2. To recover all bad debts.
3. To record all possible bad debts. 
4. To provide debtors discounts.
5. To record bad debts allowances.

(vii) Amani business had an opuning balance of TZS 12,.500 fnr creditors at the beginning of the year and the closing creditors balances of TZS 21,000 at the year end. During the year, the payment made to creditors amounted to TZS 16,000. Calculate the amount of purchases during the year.

1. TZS 33,500
2. TZS 27,000
3. TZS 16,500
4. Tzs 24,500
5. TZS 7,500

(viii) A business has the cost of goods sold worth TZS 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

(ix) How would you record the commission due to consignee in the books of the consignee?

1. Dr. Consignee's account and Cr. Consignment account
2. Dr. Consignment account and Cr. Profit and loss account
3. Dr. Profit and loss account and Cr. Consignment account
4. Dr. Consignor's account and Cr. Commission Receivable account
5. Dr. Goods on consignment account and Cr consignment account

(x) A customer buys 100 items of TZS 5,000 each and has been given a 25% trade 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

(xi) How is the capital for a non-profit making organization described?

1. Capital employed fund 
2. Capital supplied fund
3. Accumulated fund 
4. Gross working capital fund
5. Accumulated shares fund

(xii) How could a purchase of a non-current asset by cheque affect the balance sheet?

1. By decreasing non-current asset account and decreasing bank account.
2. By increasing bank account and decreasing asset account. 
3. By increasing non-current asset account and decreasing cash account.
4. By increasing cash account and decreasing asset account.
5. By increasing non-current asset account and decreasing bank account.

(xiii) Costs incurred for machine repairs in accounting for departmental businesses is appropriately apportioned according to

1. the value of machinery in each department.
2. the value of non-current assets in each department.
3. the number of machines in each department.
4. the number of machine hours used in each department.
5. the floor area occupied by each machine.

(xiv) How are the records maintained by accounting officers for proper control of expenditure of public funds against provision of funds called?

1. Vote book 
2. Special accounts
3. Expenditure accounts 
4. Receipts accounts
5. Cash books

(xv) Which categories of errors represent errors which do not affect the Trial Balance agreement?

1. Errors caused by inaccurate arithmetic operations.
2. Errors which cancel out each other in the trial balance.
3. Errors caused by omission of a balance of account.
4. Errors caused by entering an item once in an account.
5. Errors caused by posting an item on a wrong side of an account.