QUESTION 3 (30 Marks) You are provided with information relating to Banyana Traders, owned by David Hambeck, for the financial year ended 28 February 2023. The business is situated in Johannesburg. David buys and sells soccer balls and jerseys. The business uses the periodic inventory system. The soccer balls are bought from South African suppliers, and the soccer jerseys of different clubs and countries are imported from overseas. David employs salespersons to control each item of stock: - James controls and sells the soccer balls - Cyril controls and sells the soccer jerseys David has decided on the following accounting policies for valuing inventory: - Soccer balls - Weighted-average method - Soccer jerseys - First-in-first-out method (FIFO) REQUIRED: 3.1 Although this business has done well, David is considering closing it down and investing his capital in fixed property. State TWO (2) points that he should consider before making a final decision. 3.2 David suspects that a number of soccer balls have been shoplifted. Calculate the number of soccer balls stolen. 3.3 Use the relevant information to calculate the closing stock value of: - Soccer balls (using the weighted-average method) - Soccer jerseys (using the FIFO method) (Show your workings to earn part-marks). 3.4 Calculate the following for soccer jerseys. (You may prepare a Trading Account to calculate these figures): - Cost of sales - Mark-up \% on cost INFORMATION: Inventories INFORMATION: Inventories Purchases During the financial year ended 28 February 2023, the following stock items were purchased: Carriage on purchases: During the year, the business paid a total of R30 200 to transport soccer balls to the shop. The price of the soccer jerseys includes carriage. Sales Financial Indicators