Sh.'000' Amount advanced to suppliers for material supplied 52,000 Value of materials supplied by suppliers 89,000...

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Sh.'000' Amount advanced to suppliers for material supplied 52,000 Value of materials supplied by suppliers 89,000 Balance paid to suppliers in full and final settlement Wages paid 35,500 36,000 Materials purchased in cash 2,500 Materials supplied by D from personal stock 9,50 Engineering consultant fees paid 3,250 Value of stock lost in fire but not covered by insurance 3,500 The contract was completed and the price dully received. D took all the shares at an agreed value of Sh.47m and 'R' took the balance of stock (cost 3.5m) for Sh.2.75m. Required: Ledger accounts to record the above transactions. (Total 20 Marks) (Total: 20 marks) NUMBER THREE Kanjung Advocates have been in practice for several years. The books of accounts show the following information: Balance Sheet as at 30th April 2001 Capital Current Liabilities Clients A/c Accrued rent Accrued salaries Sh.'000' Sh.'000' Fixed Assets Sh.'000' Sh.'000' 827 Furniture & Fittings 24 Equipment Motor vehicles 376 471 Fees arrears 120 Cash at bank 849 Office a/c Client a/e 303 282 1.205 1.676 The details of receipt and payments for the year ended 30 April 2002 is as given below: Receipts Sh.'000' Payments Sh.'000' Fees for services rendered 888 Office rent 224 Disbursements: Stationery Transport Miscellaneous Deposit for land buying for client Deposit for a criminal case from client Salaries and wages 12 Equipment purchased 15 Telephone postage 23 Miscellaneous expenses 384 Water and electricity 230 149 73 52 35 Printing and stationery 324 Transport 38 56 Motor vehicles expenses 98 Office repairs 18 Deposit on land sale contract for client Drawings 230 150 Additional Information: (ii) (in) (iv) (v) Interim fee note of Sh.125,000 was debited to the client accounts for the criminal case. Disbursement for stationery, Sh.5,000, transport Sh.3,000 and miscellaneous Sh.1,000 have been charged to the clients a/c. Accrued expenses amounted to Sh.5,000, Sh.27,000 and Sh.28,000 for telephone, rent and salaries respectively. Depreciation is provided for on reducing balance method at 12.5%, 15% and 25% on furniture and fittings, equipment and motor vehicles respectively. Fees in arrears amounted to Sh.320,000 Required (a) Advicate's income and expenditure account for the year ended 30 April 2002. (8 marks) The client's account for the year ended 30 April 2002. (6 marks) Balance sheet as at 30 April 2002. (6 marks) (Total: 20 marks) NUMBER FOUR Write brief and concise notes on the following: Committee of ways and means Controller and auditor general Public Accounts Committee Trust funds Sinking funds. NUMBER FIVE (Total 20 Marks) D and R were doing business as engineering contractors. They undertake in 1999 jointly to build and install new machinery for a company for a contract price of Ksh.134m, Sh.84m payable in instalments in cost and the balance as fully paid shares in the company. A bank account was opened as joint, D paying in Sh.45m and R Sh.20m. They were to share profits and losses in the ratio 3:2 respectively. The following transactions took place in 1999: Sh.'000' Amount advanced to suppliers for material supplied 52,000 Value of materials supplied by suppliers 89,000 Balance paid to suppliers in full and final settlement Wages paid 35,500 36,000 Materials purchased in cash 2,500 Materials supplied by D from personal stock 9,50 Engineering consultant fees paid 3,250 Value of stock lost in fire but not covered by insurance 3,500 The contract was completed and the price dully received. D took all the shares at an agreed value of Sh.47m and 'R' took the balance of stock (cost 3.5m) for Sh.2.75m. Required: Ledger accounts to record the above transactions. (Total 20 Marks) (Total: 20 marks) NUMBER THREE Kanjung Advocates have been in practice for several years. The books of accounts show the following information: Balance Sheet as at 30th April 2001 Capital Current Liabilities Clients A/c Accrued rent Accrued salaries Sh.'000' Sh.'000' Fixed Assets Sh.'000' Sh.'000' 827 Furniture & Fittings 24 Equipment Motor vehicles 376 471 Fees arrears 120 Cash at bank 849 Office a/c Client a/e 303 282 1.205 1.676 The details of receipt and payments for the year ended 30 April 2002 is as given below: Receipts Sh.'000' Payments Sh.'000' Fees for services rendered 888 Office rent 224 Disbursements: Stationery Transport Miscellaneous Deposit for land buying for client Deposit for a criminal case from client Salaries and wages 12 Equipment purchased 15 Telephone postage 23 Miscellaneous expenses 384 Water and electricity 230 149 73 52 35 Printing and stationery 324 Transport 38 56 Motor vehicles expenses 98 Office repairs 18 Deposit on land sale contract for client Drawings 230 150 Additional Information: (ii) (in) (iv) (v) Interim fee note of Sh.125,000 was debited to the client accounts for the criminal case. Disbursement for stationery, Sh.5,000, transport Sh.3,000 and miscellaneous Sh.1,000 have been charged to the clients a/c. Accrued expenses amounted to Sh.5,000, Sh.27,000 and Sh.28,000 for telephone, rent and salaries respectively. Depreciation is provided for on reducing balance method at 12.5%, 15% and 25% on furniture and fittings, equipment and motor vehicles respectively. Fees in arrears amounted to Sh.320,000 Required (a) Advicate's income and expenditure account for the year ended 30 April 2002. (8 marks) The client's account for the year ended 30 April 2002. (6 marks) Balance sheet as at 30 April 2002. (6 marks) (Total: 20 marks) NUMBER FOUR Write brief and concise notes on the following: Committee of ways and means Controller and auditor general Public Accounts Committee Trust funds Sinking funds. NUMBER FIVE (Total 20 Marks) D and R were doing business as engineering contractors. They undertake in 1999 jointly to build and install new machinery for a company for a contract price of Ksh.134m, Sh.84m payable in instalments in cost and the balance as fully paid shares in the company. A bank account was opened as joint, D paying in Sh.45m and R Sh.20m. They were to share profits and losses in the ratio 3:2 respectively. The following transactions took place in 1999:

Answer rating: 100% (QA)

a Advocates Income and Expenditure Account for the year ended 30 April 2002 Income Fees for services rendered 224000 Expenditure Stationery 12000 Tran... View the full answer