QUESTION ONE [25] The following financial information relates to Cams Limited. Statement of Financial Position as at 31 December 2020 and 2021 2021 R 2020 R Ordinary share capital 400 000 295 000 Retained earnings 55 000 5 000 Property, plant and equipment 230 000 195 000 Investments 165 000 110 000 Debentures 12.5% 20 000 60 000 Inventory 124 000 120 000 Trade […]
Samke Limited sells new equipment and repairs equipment for their regular customers. The following information was extracted from the accounting records for the financial year ended 30 June 2021 1. Extracted from the Pre-Adjustment Trial Balance at 30 June 2021: R Fixed deposit 160 000 Inventory: Trade goods 219 800 Debtors control 39 090 Machinery 224 000 Accumulated depreciation: Machinery 130 000 Long term […]
QUESTION 1 A company issued R100-million in 14% debentures of R100 each, redeemable at par after five years. Calculate the cost of debt if the debentures are issued at 10% premium with 5% flotation cost. Assume 30% corporate tax. QUESTION 2 CT Ltd. has R1,000,000 allocated for capital rationing purposes. The following proposals and associated profitability indexes have been determined. Project Investment required ® Present […]
Question 1: Four alternatives are provided for each of the following questions. Choose the correct alternative for each of the questions/statements. Questions 1.1 to 1.5 carry mark each. Questions 1.6 to 1.10 carry 2 marks each. Write down the question number and the letter corresponding to your choice next to the question number. The components of a complete set of financial statements are the following: […]
