1. Determine B.E.P in units and amount if Units produced if Rs 10,000, Fixed cost is Rs 40,000, Selling price is Rs 50 per unit and Variable cost us Rs 30 per unit.n

2. ABC Company manufactures and sells trucks at Rs 75,000 each made up of Direct Materials Rs 30,000, Direct Labour Rs 8,000 Variable Overheads is Rs 12,000, Fixed overheads is Rs 6,000, Variable selling expenses is Rs 3,000 Royalty is Rs 4,000 Profit is Rs 7,000. There is enough idle capacity. If the company decides to sell 4 trucks to ABC Company under the same management, what should be the minimum price to be charged?n

3. ABC Ltd manufactures a single product and sales for Rs 30 per unit. There is increased demand of the product. The Direct Material is Rs 8, Direct labour (2 hours) is Rs 4 and Variable overheads is Rs 4. The labour force is working at full capacity and no extra time is available. Mr. X has approached ABC Ltd with a request for manufacture special order at Rs 8,000. Also, 600 hours labour will be required and cost of the order will be Rs 3000 for Direct Material. Variable overhead per hour will be Rs 2. Should the order be accepted? Why?

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BACHELOR OF COMMERCE IN SUPPLY CHAIN MANAGEMENT YEAR 1 ACADEMIC AND ASSESSMENT CALENDAR - DISTANCE 2. A debtor owing R1 500 was declared insolvent. R900 was received and deposited but not recorded. The unpaid balance of the debtors account is considered to be irrecoverable and must be written off as a credit loss. 3. Repairs to Pats personal car to the value of R2 500 was erroneously debited to the Vehicle expenses account. A correction needs to be recorded. 4. The interest on the loan from Oval Bank is still outstanding for February 2021. The loan was taken out on 1 April 2020 and is due to be paid on 31 March 2025. 5. Depreciation on Vehicles must be provided at 20% per year on the diminishing balance method. No vehicles were bought or sold during the current year. 6. All the equipment in use currently was bought on 1 March 2020. The estimated residual value of the equipment is R20 000. The equipment must be depreciated over the estimated useful life of 8 years using the fixed instalment method. 7. On 10 January 2021, a customer was charged R600 for the repair of her cell phone. Pat gave her a cash discount of R100 and the customer paid an amount of R500. This transaction was erroneously recorded as follows and included in the above list of accounts: DR Bank R500 DR Settlement discount granted R100 CR Other expenses R600 Required: Prepare the following for Mobi Electronics for the year ended 21 February 2021: 3.1 General journal entries to record the adjustments for additional information Number 1 to 7. Include a brief narration. (15) QUESTION THREE Pat Mendi owns Mobi Electronics which carry's out repairs to all types of electronic devices and equipment. Pat provided the following list of selected account balances REGENT BUSINESS SCHOOL (RBS) - JANUARY 2021 extracted from the pre-adjustment trial balance at 28 February 2021, the end of the current financial year: BACHELOR OF COMMERCE IN SUPPLY CHAIN MANAGEMENT YEAR 1 ACADEMIC AND ASSESSMENT CALENDAR - DISTANCE Selected accounts from the pre-adjustment trial balance at 28 February 2021. 15% long term loan from Oval bank Vehicles at cost Equipment Accumulated depreciation: equipment Services rendered Consumable material used Rent income - Shane Scott Settlement discounts granted Credit losses Vehicle expenses Interest on Loan 1.1 George Bamby Additional information: 1.2 Debit R 276 000 140 000 251 357 3 310 2 350 14 160 8 250 Credit R [25] 60 000 97 200 745 200 1. Pat sub-let part of his premises which was rented out to the following two tenants: 23 144 000 141 900 Tenant: Shane Scott: His tenancy agreement confirms that Shane took occupation of the premises on 1 June 2020. There was no provision for increase in rent until 1 June 2021. Shane has already paid his rent for the period 1 June 2020 to 31 May 2021. Tenant: George Bamby: His tenancy agreement confirms that he took occupation on1 March 2020. There was no provision for an increase in rent until 1 March 2021. George has paid his rent until 31 January 2021. QUESTION FOUR Bags Galore buy and sell a limited range of imitation leather bags. The following information was extracted from their financial records for the year ended 28 February 2021: Inventory on hand at 1March 2020 Purchases Import duties Transport costs on purchases Settlement discounts received Transport costs for delivery to customers Additional information: Transactions details 1. Inventory on hand at 28 February 2020 was as follows: 1 109 bags at R175 R194 075 2. 97 bags at R115 were returned to suppliers and the necessary credit notes were received. However, this has not yet been recorded. ● 4. Additional import duties of R3 400 must still be recorded and paid. 5. Total sales for the year is as follows; REGENT BUSINESS SCHOOL (RBS) - JANUARY 2021 BACHELOR OF COMMERCE IN SUPPLY CHAIN MANAGEMENT YEAR 1 ACADEMIC AND ASSESSMENT CALENDAR - DISTANCE 4.1 Required: 3. Additional transport costs on purchases of R4 200 were incurred. This was paid by EFT but not yet recorded. Sold 2 100 bags at R165 each; and Sold 3 200 bags at R175 each. R 1 March 2020 to 28 February 2021; (Total number of bags sold = 5 300): ||| [12] 226 700 360 480 106 800 91 600 26 900 83 200 6. Bags Wholesalers use the periodic inventory system to record their trading stock. Prepare the trading section of the statement of profit or loss and other and other comprehensive income for the year ended 28 February 2021. 4.2 List at least two disadvantages of the Periodic Inventory System. O 26 (2) BACHELOR OF COMMERCE IN SUPPLY CHAIN MANAGEMENT YEAR 1 ACADEMIC AND ASSESSMENT CALENDAR - DISTANCE 2. A debtor owing R1 500 was declared insolvent. R900 was received and deposited but not recorded. The unpaid balance of the debtors account is considered to be irrecoverable and must be written off as a credit loss. 3. Repairs to Pats personal car to the value of R2 500 was erroneously debited to the Vehicle expenses account. A correction needs to be recorded. 4. The interest on the loan from Oval Bank is still outstanding for February 2021. The loan was taken out on 1 April 2020 and is due to be paid on 31 March 2025. 5. Depreciation on Vehicles must be provided at 20% per year on the diminishing balance method. No vehicles were bought or sold during the current year. 6. All the equipment in use currently was bought on 1 March 2020. The estimated residual value of the equipment is R20 000. The equipment must be depreciated over the estimated useful life of 8 years using the fixed instalment method. 7. On 10 January 2021, a customer was charged R600 for the repair of her cell phone. Pat gave her a cash discount of R100 and the customer paid an amount of R500. This transaction was erroneously recorded as follows and included in the above list of accounts: DR Bank R500 DR Settlement discount granted R100 CR Other expenses R600 Required: Prepare the following for Mobi Electronics for the year ended 21 February 2021: 3.1 General journal entries to record the adjustments for additional information Number 1 to 7. Include a brief narration. (15) QUESTION THREE Pat Mendi owns Mobi Electronics which carry's out repairs to all types of electronic devices and equipment. Pat provided the following list of selected account balances REGENT BUSINESS SCHOOL (RBS) - JANUARY 2021 extracted from the pre-adjustment trial balance at 28 February 2021, the end of the current financial year: BACHELOR OF COMMERCE IN SUPPLY CHAIN MANAGEMENT YEAR 1 ACADEMIC AND ASSESSMENT CALENDAR - DISTANCE Selected accounts from the pre-adjustment trial balance at 28 February 2021. 15% long term loan from Oval bank Vehicles at cost Equipment Accumulated depreciation: equipment Services rendered Consumable material used Rent income - Shane Scott Settlement discounts granted Credit losses Vehicle expenses Interest on Loan 1.1 George Bamby Additional information: 1.2 Debit R 276 000 140 000 251 357 3 310 2 350 14 160 8 250 Credit R [25] 60 000 97 200 745 200 1. Pat sub-let part of his premises which was rented out to the following two tenants: 23 144 000 141 900 Tenant: Shane Scott: His tenancy agreement confirms that Shane took occupation of the premises on 1 June 2020. There was no provision for increase in rent until 1 June 2021. Shane has already paid his rent for the period 1 June 2020 to 31 May 2021. Tenant: George Bamby: His tenancy agreement confirms that he took occupation on1 March 2020. There was no provision for an increase in rent until 1 March 2021. George has paid his rent until 31 January 2021. QUESTION FOUR Bags Galore buy and sell a limited range of imitation leather bags. The following information was extracted from their financial records for the year ended 28 February 2021: Inventory on hand at 1March 2020 Purchases Import duties Transport costs on purchases Settlement discounts received Transport costs for delivery to customers Additional information: Transactions details 1. Inventory on hand at 28 February 2020 was as follows: 1 109 bags at R175 R194 075 2. 97 bags at R115 were returned to suppliers and the necessary credit notes were received. However, this has not yet been recorded. ● 4. Additional import duties of R3 400 must still be recorded and paid. 5. Total sales for the year is as follows; REGENT BUSINESS SCHOOL (RBS) - JANUARY 2021 BACHELOR OF COMMERCE IN SUPPLY CHAIN MANAGEMENT YEAR 1 ACADEMIC AND ASSESSMENT CALENDAR - DISTANCE 4.1 Required: 3. Additional transport costs on purchases of R4 200 were incurred. This was paid by EFT but not yet recorded. Sold 2 100 bags at R165 each; and Sold 3 200 bags at R175 each. R 1 March 2020 to 28 February 2021; (Total number of bags sold = 5 300): ||| [12] 226 700 360 480 106 800 91 600 26 900 83 200 6. Bags Wholesalers use the periodic inventory system to record their trading stock. Prepare the trading section of the statement of profit or loss and other and other comprehensive income for the year ended 28 February 2021. 4.2 List at least two disadvantages of the Periodic Inventory System. O 26 (2)

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1 The BEP in units is 1000 units The BEP in amount is Rs 50000 The BEP in units is calculated as fol... View the full answer