Student's Assessment Number . . . . . . . . .

THE UNITED REPUBLIC OF TANZANIA NATIONAL EXAMINATIONS COUNCIL OF TANZANIA FORM TWO NATIONAL ASSESSMENT

062 BOOK KEEPING

Time: 2:30 Hours Year: 2023

Instructions

1. This paper consists of sections A, B and C with a total of nine (9) questions.
2. Answer all questions in the spaces provided.
3. Section A carries fifteen (15) marks, section B forty (40) marks and section C carries forty five (45) marks.
4. All writing must be in blue or black ink. 5. Non programmable calculators may be used.
5. Cellular phones and any unauthorised materials are not allowed in the assessment room.
6. Write your Assessment Number at the top right hand corner of every page.

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 in the box provided.

(i) The assumption that the business is to continue for a foreseeable future is based on

1. the going concern concept.
2. the historical cost concept.
3. the duality concept.
4. the business entity concept.

(ii) Which of the following set of accounts represent impersonal accounts?

1. Shihata Ltd and real
2. Masumbuko and nominal
3. Real and nominal
4. Cash and creditors

(iii) Mr. Munga bought goods on credit from Jese. How should this transaction be recorded?

1. Dr Purchases, Cr Jese
2. Dr Jese, Cr Purchases
3. Dr Munga, Cr Jese
4. Dr Cash, Cr Purchases

(iv) What is the name of the opening balance of an account in the beginning of a financial year?

1. Balance carried down
2. Balance brought down
3. Credit balance
4. Debit balance

(v) The following information was extracted from the financial statements of Dada Traders: Furniture TZS 10,000,000; Machine TZS 52,000,000; Bank TZS 15,000,000; Liabilities TZS 16,000,000. How much would be the amount of capital?

1. TZS 77,000,000
2. TZS 61,000,000
3. TZS 16,000,000
4. TZS 67,000,000

(vi) Katuma sold goods on cash basis for TZS 5,000,000 allowing a cash discount of 5%. How much will be recorded in the three column cash book as discount?

1. TZS 4,750,000
2. TZS 250,000
3. TZS 500,000
4. TZS 5,250,000

(vii) Mr. Juma, a sole trader maintains a petty cash book under the imprest system. During the month of July 2021, he paid TZS 100,000 for staff retreat tour. which column of the petty cashbook should be used to record this expenditure? .

1. Travelling expenses
2. Office expenses
3. Postage expenses
4. Ledger accounts

(viii) What is the major purpose of preparing a Trial Balance?

1. Checking the correctness of posting the accounting records.
2. To test the completeness of recording the transactions.
3. Checking the level of omission of transactions in the accounting records.
4. To test the accuracy of double entry recording.

(ix) Allen withdrew TZS 500,000 cash from bank for personal use. The double entry for this transaction should be:

1. Debit cash account, credit bank account.
2. Debit cash account, credit bank account.
3. Debit drawing account, credit bank account.
4. Debit drawing account, credit cash account.

(x) Which account would be affected if the sales day book is understated by TZS 500,000?

1. Suspense account
2. Debtors account
3. Sales account
4. Supplier's account