• We need your support!

    We are currently struggling to cover the operational costs of Xtremepapers, as a result we might have to shut this website down. Please donate if we have helped you and help make a difference in other students' lives!
    Click here to Donate Now (View Announcement)

9706....AS/A level Accounting Post ur doubts here...!

Messages
191
Reaction score
175
Points
53
need help on question no 27 and 29.help me.sorry wrong paper 9706/m/j/10/33.

27.

Depreciation / year = (160-20)/4 = $ 35000
Net profit on average per year = 64000 - 14000 - 35000 = $15000
Average investment = (160 + 20)/2 = $90000

ARR = (NP/Investment) * 100
(15/90)*100 = 16.67 %

Hence ans. is C.

29.

NPV = 8000 * (1.000 + 0.909 + 0.826 + 0.751) = 8000 * 3.486 = $ 27888 approx ( 27900)

Hence ans. is C.
 
Messages
191
Reaction score
175
Points
53

Attachments

  • Capture.JPG
    Capture.JPG
    55.5 KB · Views: 4
Messages
191
Reaction score
175
Points
53
but even the examiners report says A
i got C :)

Examiner report says that balance sheet shows an issue of shares and premium is charged of 25% ie, (15000/60000)*100 = 25%
so share premium must be debited for premium. Strange that CIE didnt give complete explanation of items
 
Messages
886
Reaction score
1,252
Points
153
And how to find the value of opening and closing inventory if when using absorption costing and marginal costing
 
Messages
191
Reaction score
175
Points
53
thanks :)
may/june 2010 question 13 any idea ??
http://papers.xtremepapers.com/CIE/Cambridge International A and AS Level/Accounting (9706)/9706_s10_qp_12.pdf
is the marking scheme wrong or wat because i get 40000 and annswer is 47000

Realised Profit on Cost of manufacturing = $240000 * 20% = $48000
Unrealised Profit / (loss) on closing inventory = (20/120) * 54000 = (9000)
Unrealised Profit / (loss) on opening imventory = 40000 * 20% = 8000 (this is b'coz opening inventory is not at cost plus profit)

Factory Profit = 48000 + 8000 - 9000 = $ 47000
 
Messages
191
Reaction score
175
Points
53

Nominal value of an ordinary share = $1
Proceeds of $120000 include nominal and premium value. (Let the value of share issued be Y)

120000 = Y * number of shares (as proceeds equal issue price * number of shares)

Number of shares * 1.00 = 2500 (as we will take new dividend and dividend is paid at 10% of nominal value of ordinary shares)

Number of shares = 2500/0.1 = 25000 new shares

120000 = Y (25000)
Y =120000/25000 = $4.80 so the answer is D.
 
Messages
191
Reaction score
175
Points
53
hey people, can any1 help me wit this mcq in accounts? Its M/J 2010 P31 question 2, its about da cashflow thing, how do u calculate da cashflow for year 2?? plz help

Here is da link..... http://papers.xtremepapers.com/CIE/Cambridge International A and AS Level/Accounting (9706)/9706_s10_qp_31.pdf

Statement of cash flows for the Year 2:

Operating activity
$
Profit from operations 880000

Non cash adjustments:
Depreciation 62000
Loss/(profit) on disposal (17000)

Working capital movement:
(Increase) in working capital (16000)

Net cash flow generated from
operating activity 909000


So the answer is A.
 
Top