a) Define accounting and explain two ways accounting will be useful to your degree course (3...

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a) Define accounting and explain two ways accounting will be useful to your degree course (3 marks) b) Identify four users of accounting information and their information needs in development contexts. (8 marks) c) Prepare a two column cash book for Pine Traders and balance it off on 30th May 2012. (10 marks) May 2: started business with cash sh 5,000 and Bank sh 20,000 May 2: Paid rent by cash 500 May 5: Cash sales of sh 2000 was made May 12: Received a cheque from Boon L. sh 5000 May 15: Paid Willy by cheque sh 4000 May 26: Paid wages by cash sh 3000 May 30: Withdrew sh 1500 from bank for office use d) JB enterprises had the following balances as at 31 December 2015. Sh Buildings Furniture and fittings Motor vehicles Stock Debtor Cash at bank Cash at hand 1,100,000 550,000 Creditors Capital 5 year loan 580,000 850,000 560,000 150,000 40,000 250,000 3,080,000 500,000 Required: Prepare JB enterprises balance sheet as at 31" December 2015 e) Explain the effect of the following items on the capital. i) Profits ii) Additional investments iii) Loss iv) Drawings (5 marks) (4 marks) a) Define accounting and explain two ways accounting will be useful to your degree course (3 marks) b) Identify four users of accounting information and their information needs in development contexts. (8 marks) c) Prepare a two column cash book for Pine Traders and balance it off on 30th May 2012. (10 marks) May 2: started business with cash sh 5,000 and Bank sh 20,000 May 2: Paid rent by cash 500 May 5: Cash sales of sh 2000 was made May 12: Received a cheque from Boon L. sh 5000 May 15: Paid Willy by cheque sh 4000 May 26: Paid wages by cash sh 3000 May 30: Withdrew sh 1500 from bank for office use d) JB enterprises had the following balances as at 31 December 2015. Sh Buildings Furniture and fittings Motor vehicles Stock Debtor Cash at bank Cash at hand 1,100,000 550,000 Creditors Capital 5 year loan 580,000 850,000 560,000 150,000 40,000 250,000 3,080,000 500,000 Required: Prepare JB enterprises balance sheet as at 31" December 2015 e) Explain the effect of the following items on the capital. i) Profits ii) Additional investments iii) Loss iv) Drawings (5 marks) (4 marks)

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a Accounting is the systematic recording reporting and analysis of financial transactions of a business It involves summarizing interpreting and communicating financial information to various stakehol... View the full answer