l Accounting Answers
OBJ
01-10: AAADBBCACB
11-20: CAABDCCBAD
21-30: ABCCBDBCBC
31-40: CBCDCBADAB
41-50: DCABABADDA
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TAKE NOTE: Wherever you see something like this under the credit side, just leave it blank. It means no value
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THEORY :
(1a) Software can be refered to as the programs used in computer system.
(1b)
Two types of software are
(i) Systems software.
(ii) Application software.
(1c)
Advantages of Application packages
(i) Reduction in time needed for implementation.
(ii) Reduction in systems and programming effort and cost.
(iii) Provision of expertise not normally available to the small users
(iv) Reduction in errors in design.
Disadvantages of applications Packages
(i) A package may be asked which is not completely suitable to the application.
(ii) No one on site can help when problem occur.
(iii) Inefficiency emanating from the inclusion of features not relevant to every application.
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(4a)
Motor Car Account
TABULATE
Dr
Jan 1 1991 cash #6,400
Cr ____
(4b)
Provision for depreciation account
TABULATE
Dr
Dec. 31 1991 balance c/d 3200
Cr
Dec. 31 1991 profit and loss #3,200
Dr
Dec 31 1992 balance c/d #4,800
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#4,800
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Cr
Jan. 1 1992 balance b/d #3,200
Dec. 31 profit and loss #1,600
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#4,800
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Dr
Dec. 31 1993 balance c/d #5,600
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#5,600
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Cr
Jan. 1 19932 balance b/d #4,800
Dec. 31 profit and loss #800
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#5,600
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Dr
Dec. 31 1994 balance c/d #6,000
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#6,000
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Cr
Jan. 1 1994 balance b/d #5,600
Dec. 31 profit and loss #400
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#6,000
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Dr
Dec. 31 1995 balance c/d #6,200
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#6,200
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Cr
Jan. 1 1995 balance b/d #6,000
Dec. 31 profit and loss #200
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#6,200
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(4c)
Profit and loss account
TABULATE
Dr
1991 Depreciation #3,200
1992 Depreciation #1,600
1993 Depreciation #800
1994 Depreciation #400
1995 Depreciation #200
Cr
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(4d)
Depreciation Schedule
Year 1 2 3 4 5
Book value at beginning 6, 400 3, 200 1,600 800 400
Depreciation
3,200 1,600 800 400 200
Accumulated Depreciation 3,200 4,800 5,600 6,000 6,200
Net book value 3,200 1,600 800 400 200
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(5)
(i) Realization account
TABULATE
Dr
Book value of asset
Fixed asset #24,780
Stock #13,552
Debtor #30,000
Cost of liquidation #750
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#69,082
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Cr
Cash realized
Debtor #28,000
Stock #13,000
Fixed asset #20,000
Discount from creditor #1067
Take over by:
Bayo #800
Share of loss
Bayo=3/9 × 6215 = 2071.7
Victor=4/9 × 6215 = 2762.2
Tunde= 2/9 × 6215 = 1381.1
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#69,082
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(ii)
Cash account
TABULATE
Dr
Balance b/f #2,780
Debtor #28,000
Stock #13,000
Fixed asset 20000
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#63,780
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Cr
Cost of liquidation #750
Creditor #13,500
Capital:
Bayo #10928.3
Victor #22,237.8
Tunde #14,693.9
Loan #1670
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#63,780
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(iii)
Capital account
TABULATE
Dr
Particular || Bayo || Victor || Tunde
Bayo
Motor car #800
Have of loss #2,071.7
Cash #10,928.3
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#13,800
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Victor
Motor car ----------
Have of loss #2,762.2
Cash #22,237.8
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#25,000
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Tunde
Motor car ---------
Have of loss #1,381.1
Cash #14,693.9
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#16,075
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Cr
Particular || Bayo || Victor || Tunde
Particular
Balance b/f
Bayo
#13,800
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#13,800
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Victor
#25,000
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#25,000
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Tunde
#16,075
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#16,075
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