Download and practise with this ZIMSEC O-Level Principles of Accounts Paper 3 November 2018 question paper. Useful for exam revision, past paper practice, and preparation in Zimbabwe.
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This is the ZIMSEC O-Level Principles of Accounts question paper for Paper 3 from November 2018. Use it for exam practice under timed conditions. The paper code is 6001/3.
2
Answer all questions.
1. The following is the draft statement of financial position of Stamford, a sole trader, at 30 April 2015.
Statement of Financial Position at 30 April 2015
Non current assets | $ | $
Building at valuation | & 150000
Equipment at book value | & 270000
Motor vehicle at book value | & $\underline{165000}$
| & 585000
Current assets | &
Inventory | 35000 |
Trade receivables | 9500 |
Other receivables | 1000 |
Cash and cash equivalents | $\underline{2000}$ | $\underline{47500}$
| & 632500
Capital and liabilities | &
Capital 1 May 2014 | & 500000
Add Profit for the year | & 540000
Less Drawings | & $\underline{37500}$
Capital 30 April 2015 | & 502500
Non-current liabilities | &
4\% loan | & 100000
Current liabilities | &
Trade payables | 28500 |
Other payables | $\underline{1500}$ | $\underline{30000}$
| & 632500
Additional information
After the preparation of the draft statement of Financial Position, the following errors were discovered.
1. Inventory at 30 April 2015 includes goods costing $$ 7500$ which were found to be damaged. The estimated net realisable value is $$ 4000$.
2. Accrued loan interest had been omitted from the other payables amount.
3. No provision for depreciation on equipment had been made for the year. Depreciation should have been provided at $5 \%$ per annum using the reducing balance method.
4. During the year vehicle repairs of $$ 10000$ had been incorrectly debited to the motor vehicles account. Motor vehicles were depreciated at $10 \%$ per annum.
5. On 28 April 2015 a customer who owed $$ 1800$ was declared bankrupt. It was decided to write off this account in full. No record of this had been made in the accounts.
6001/3 N2018
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