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PROVINCIAL ASSESSMENT

GRADE 10

ACCOUNTING P2

NOVEMBER 2019

MARKING GUIDELINES

MARKS: 150

These marking guidelines consist of 8 pages.

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Accounting/P2 2 NW/November 2019
NSC – Grade 10 – Marking guidelines

QUESTION 1

1.1 VAT

indirect 
1.1.1
15%. 
1.1.2
output. 
1.1.3
zero-rated 
1.1.4
exempt 
1.1.5
R1 000 000 
1.1.6
6

1.2 ETHICS

Comment on the suggestion. Provide TWO points.

Any TWO valid points.  

 Tax evasion/purchase of stolen goods is illegal/unethical.

 Issuing documents is important for internal control processes/It
is fraud not to issue an invoice.
 Illegal activities can damage the image of a business.
 Discount limits must be set by management (otherwise it is
fraud).
4

TOTAL MARKS

10

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Accounting/P2 3 NW/November 2019
NSC – Grade 10 – Marking guidelines

QUESTION 2
2.1 Prepare a correct Debtors’ Control Account for September 2019 by
taking into account errors and omissions. Balance the account.
GENERAL LEDGER OF SUNSHINE TRADERS
Dr DEBTORS’ CONTROL Cr
2019 01 Balance b/d 20 840 2019 30 Bank and CRJ 24 380
Sep (21 370– Sep discount
530) allowed
30 Sales DJ 31 920 Debtors’ DAJ 1 140
allowances 
(980+160)
Bank CPJ 600 Journal credits GJ 580
(R/D)
Journal GJ 1 620 Balance c/d 29 000
debits
(820+800
)
Petty PCJ 120
cash
55 100 55 100
2019 01 Balance b/d 29 000
Oct

20
2.2 Prepare a correct list of debtors as at 30 September 2019.
DEBTOR Debit Credit
S Taylor 6 500
P Africa (7 480– 200) one part correct 7 280
G Kruger (5 340+120) one part correct 5 460
M Ahmed (1 890–90) one part correct 1 800
R Dioka 6 760
P Hlapa (–800+800) one part correct 0
T Makobo(1 800–300–300) or (1 800– 1 200
600) one part correct
Operation 29 000 21

2.3 Discuss TWO strategies that can be implemented to encourage

debtors to pay their accounts on time.
Any TWO valid strategies.  
 Add interest on overdue accounts.
 Give discount for payment received on time.
 Regularly send out accounts.
 Follow up on overdue accounts. 4

TOTAL MARKS

45

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Accounting/P2 4 NW/November 2019
NSC – Grade 10 – Marking guidelines

QUESTION 3

3.1 Calculate the depreciation on equipment for the year ended 28

February 2019.

Old: R33 000 – R14 000 x 10/100 = R1 900  one part correct

New: R14 000 x 10/100 x 6/12 = R 700 one part correct

R2 600  operation one part correct

OR

33 000 – 14 000 = 19 000 x 10/100 x 6/12 = 950  one part correct

33 000 x 10/100 x 6/12 = 1 650  one part correct
950 + 1 650 = 2 600  operation one part correct
5

3.2 Calculate the carrying value (book value) of equipment on 28

February 2019.
R15 100 two marks
R33 000  – (12 500  + 2 600 ) = R17 900  one part correct
see 3.1

3.3 ASSET REGISTER

CAT Pick- Date

ASSET: 1 December 2016
up-Loader Purchased:
Depreciation 20% p.a. on
Cost price: R110 000
method diminishing balance
RECORD OF DEPRECIATION
Date Depreciation Accumulated Carrying value
Depreciation
28 Feb 2018 26 400 83 600 

28 Feb 2019 43 120  66 880 

16 720  5

3.4 State ONE reason why the asset register is a valuable tool in
asset management.

Any ONE valid reason: 


 Verification of assets for balance sheet purposes.
 Can physically compare/check asset items to the asset register
 Quick reference of asset item's history when selling it.
2
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Accounting/P2 5 NW/November 2019
NSC – Grade 10 – Marking guidelines

3.5 State TWO internal control measures that the owner can put in
place to reduce the misuse of the delivery vehicle by the driver.

Any TWO valid response:   

 Install a tracking device.

 Explain the code of conduct to employee(s) and the procedures
applicable if the vehicles are misused.
 The driver must complete a logbook of all kilometres travelled.
4

TOTAL MARKS

20

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Accounting/P2 6 NW/November 2019
NSC – Grade 10 – Marking guidelines

QUESTION 4

4.1 Use the following information to set up the Trading Stock

account. Balance the account.

GENERAL LEDGER OF BOOMA TRADERS

Dr TRADING STOCK Cr
2019 2019 CRJ
1 Balance b/d 4 500  31 Cost of sales  900 
Mar Mar 
CPJ DJ
31 Bank  5 000  31 Cost of sales  600 
 
Creditors CJ Creditors CAJ
31 1 400  31 1 000 
Control   Control  
GJ
31 Drawings  2 000 

31 Balance c/d 6 400 
10 900 10 900
April 1 Balance b/d 6 400 

24

4.2.1 Provide TWO possible reasons for the difference between these
two amounts.
Any TWO relevant reasons:   part marks for incomplete answer

 Stock was removed from the storeroom without proper

authorisation or documentation/Stock control measures are not
effective
 Stock was stolen/Shoplifting
 Stock was ordered and entered from documentation received, but
items were not physically received yet on 31 May 2018.
4

4.2.2 The business purchases more on cash than on credit. Proof

this statement by giving figures (amounts).

Bank from the CPJ (cash purchases) on the debit side is R5 000, 
while Creditors Control from the CJ (credit purchases) is R1 400. 

TOTAL MARKS

30

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Accounting/P2 7 NW/November 2019
NSC – Grade 10 – Marking guidelines

QUESTION 5

5.1 MANUFACTURING

5.1.1 Prime 
(a)
Indirect 
(b)
Fixed 
(c)
3

5.1.2 Calculate the following. Show calculations clearly.

CALCULATIONS ANSWER
(i) Direct material cost per kite.
25 + 5 + 5  R35 
one part correct

4
(ii) Total manufacturing overheads for October.
5 000  + 8 000  + 2 500  + 500  R16 000
one part correct

5
(iii) Total production cost for October 2019 if 2 500
kites were produced.
85 two marks one part correct 228 500
(35  see (i) above + 50 ) x 2 500  = 212 500  
+ see (ii) above 16 000  one part correct

7
(iv) Unit cost of production.
228 500  see (iii) above / 2500 
91,40 
one part correct
3
(v) What is the percentage profit Dan earned per
kite during October 2019, if the kites were sold
at R155 each?
69.6% OR
155  – 91,40  x 100 70% 
91,40  1 one part correct
4
(vi) Explain the difference between fixed and variable costs.
Variable cost vary in direct proportion to the amount of goods
produced e.g. raw materials. 
Fixed cost remain constant irrespective of the amount of goods
produced e.g. rent. 
4

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Accounting/P2 8 NW/November 2019
NSC – Grade 10 – Marking guidelines

5.2 BUDGETS

5.2.1 What is the aim to prepare a cash budget?

Any relevant reasons: 

 A financial plan of expected receipts and payments.

 Planning the receipts and payments for a period in the future.
 Assessing expected receipts and payments and managing cash. 2

5.2.2 Name TWO items which will not appear in a cash budget.

Any TWO relevant answers:  

 Depreciation
 Bad debts
 Owner takes trading stock for personal use/Drawings of stock
 Discount allowed
 Discount received 2

5.2.3 If cash sales are 60% of the total sales, calculate the total sales
for January.

42 000  x 100 /60  = 70 000  one part correct

5.2.4 Determine the cash surplus/(deficit) for March.

128 800  – 61 393  = 67 407 surplus  one part correct

5.2.5 Determine the bank balance at the end of March.

67 407  see 5.2.4 + 62 405  = 129 812  one part correct

TOTAL MARKS

45

TOTAL: 150

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Accounting/P2 9 NW/November 2019
NSC – Grade 10 – Marking guidelines

ANALYSIS GRID
LEVEL
LEVEL 1 LEVEL 2 LEVEL 3 4 LEVEL 5 LEVEL 6
QUESTION KNOWLEDGE COMPREHENSION APPLICATION ANALYSIS SYNTHESIS EVALUATION
1.1. 6
1.2 4
2.1 4 4 12
2.2 7 7 7
2.3 4
3.1 5
3.2 4
3.3 5
3.4 2
3.5 4
4.1 4 10 10
4.2.1 4
4.2.2 2
5.1.1 3
5.1.2 (i) 4
5.1.2 (ii) 5
5.1.2 (iii) 7
5.1.2 (iv) 3
5.1.2 (v) 4
5.1.2 (vi) 4
5.2.1 2
5.2.2 2
5.2.3 5
5.2.4 3
5.2.5 3

28 17 41 19 24 21
MARKS 45 60 45
% 30 40 30
REQUIREMENT 30% 40% 30%

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