Project one

Given :- different professions their name and other employment information regarding their data for the
month of april 2013.

Employees name Basic over Gross Income Pension Total Net Sig.
salary time earning tax Deduct pay
1 Tirusew 735
2 Nigatu 2,379
3 Geleta
4 yemariam 155.4

5 Nitsuht

Additional information
1, tirusew and nigatu have the same paid income tax for the month
2, tirusew pension contribution is 150% of her geleta pension contribution
3, the total ( employer and employees ) pension contribution of negath is equal to that of yemeriam
pension contribution
Project two
The accounts in the ledger of bb company with the unadjusted balance on December 31, 2010
the end of the fiscal year are as follow

Cash -------------------------------------- 9,280

Fees receivable ------------------------- 48,310
Prepaid insurance --------------------- 3,725
Supplies -------------------------------- 675
Prepaid advertising --------------------
Salary payable……………………………………………….31,500
Unearned rent ------------------------------------------
Income summary -------------------------------------------
Fees earned --------------------------------------------------64,250
Salary expense--------------------- 31,500
Advertising expense--------------- 11,560
Supplies expense -------------------
Insurance expense-------------------
Rent income-----------------------------------------------------12.300
Adjustment
1, UN billed fees on June 30, br.9, 750
2, supplies inventory on 30, br.190
3, insurance expired during the year br.2, 100
4, of a prepayment of birr 3,000 for advertising space in Ethiopian herald news paper 70% has been
used.

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5, salary accrued br.6, 340
6, rent collected in advance that will not be earned is br.1,200.

Required
Task 1, prepare the necessary adjusting entries
Task 2; prepare profit and loss statement and balance sheet

Project three

Cash in bank account

Balance as of April 1 printer company -------------------- 7,817.40
Cash receipt journal
Total of cash in birr debit column for month April ------------- 7,829.58

Duplicate deposit tickets

Date end amount of each deposit April
Date amount
1----------------------br. 848.63
2----------------------br,914.04
3-----------------------br.840.5
4---------------------br,971.71
15----------------------br.957.85
17--------------------- 946.74
22---------------------- 897.34
24----------------------942.71
29-----------------------510.06
number end amount of each check issued in April
Check no amount check no amount
740-------------br.287.5 749--------------- br.640.13
741-------------- 555.15 750--------------- 376.77
742--------------- 501.9 751--------------- 299.37
743----------------671.3 752 -------------- 537.01
744--------------- 506.88 753----------------- 380.95
745----------------117.25 754--------------- 249.75
746----------------298.66 755-------------- 172.75
747---------------- void 756-------------- 113.95
748---------------- 490.9 757-------------- 907.95
758------------- 359.60
759------------- 601.50
Total …………….. 8555.66 760------------- 486.39

April bank statement

Balance of April 1------------------------------------------------------ br.7,947.20

Deposit and other credit ------------------------------------------------- 10,652.77
Checks and other debits ------------------------------------------------ (8,232.21)
Balance as of April 30 ------------------------------------------------- 10,367.76

Date end amount of each deposit in April

date Amount date Amount
1 848.63 1 690.25
3 914.04 2 848.63
8 840.50 4 914.04
10 971.71 19 840.50
15 957.85 11 971.71
17 946.74 16 975.85

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22 897.34 18 946.74
24 942.71 23 897.34
29 510.06 25 942.71

Bank memorandums April bank statement date ,description and amount of each memorandum

Date description amount

4 principles --------------------------------------------------------- br.2,500
5 interest ------------------------------------------------------------- br.125
6 bank debit memo for check returned b/c NSF CHECK ----- br.311.80
7 bank debit for service charge --------------------------------- br.24.50

Printer Corporation
Bank reconciliation
March 31, 19…
Balance per bank statement ------------------------------------- 7,947.20
Add :- deposit in transit ---------------------------------------- 690.25
Total ---------------------------------------------------------- 8,637.45

Deduct outstanding check

No. 731---------------------------- 162.15
736--------------------------- 345.95
738--------------------------- 251.40
739--------------------------- 60.50
Adjusted balance ----------------------------------- 7,817.40
Per depositor ------------------------------ 7,832.50
Deduct service charge ------------------------------- 15.10
Adjusted balance per depositor ------------------------------7,817.40

Required

1, prepare bank reconciliation for the month April 30 printer corporation.

2, record the necessary journal entry for the month April 30.

Project four

Kaliti – steel factory manufactures two product A and B desired inventory

Product A product B
Desired ending inventory 20,000 10,000
Estimated beginning inventory 21,000 9,000
Sells price per unit 50br. 70br.

Item January February march total

Area1 A 6,500 6,900 6,600 20,000

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 B 1,950 1,500 1,500 4,950
Area2 A 2,500 3,000 4,500 10,000
B 500 600 1,500 2,600

For the production of A and B kaliti steel factory uses the following raw materials

Material unit cost A B

stand
0.50 20kg 15kg per
Steel 1 10kg 15kg per

Chemical 5 10lit 15lit

Required

1, prepare sales budget and production budget

2 prepare raw material purchase budget for the year.

Project five

During the month of January the following transaction will be occurs to produce three products.
1, material purchase on account
Sand -------- br.500
Steel -------- br.790
Chemicals---- br.4, 500

2, direct material issued and factory labor cost

Material direct labor
Job 1 227.50 160
Job 2 780 210
Job 3 3,900 175

3, factory overhead is 80% of direct labor cost.

4, finished goods sold for br.7,800.

Required

A, record journal entries.

B, calculate each job cost.
C, calculate gross profit.

Project six

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 Given: - MARU company vat registered company has the following transaction

March 15, received cash from sales furniture br.250, 000

16, paid entertainment expense br.5, 000
19, purchase materials br.49, 000 on cash
25, paid salary expense br.60, 000
26, sales furniture on account br.80, 000
27, paid utility expense br.25, 000
30, supplies expense br.20, 000
31, doubtful account expense br.8, 000

Required

Task 1- record journal entries

Task 2- calculate vat receivable or payable
Task 3- prepare income statement for tax purpose and calculate profit tax liability ( profit tax
30%)

Project seven

XYZ manufacturing has the following information in relation to mmodity do for July.

October 1, inventory ----------------------- 15 unit@30br.

4, Sales---------------------------- 5 unit@35br.
10, Purchase -------------------------- 10 unit@32
17, Sales ------------------------------- 12 unit@39
22, Sales ------------------------------- 3 unit@40
30, Purchase----------------------------- 10 unit@33

Required

1, The Company uses periodic inventory system and FIFO cost method calculates.

A, cost of good sold

B, cost of inventory on hand
C, gross profit

2, the company uses perpetual inventory system and LIFO cost method calculate..

A, cost of good sold

B, cost of inventory on hand
C, gross profit

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 ANSWER
OTHER EMPLOYEE COMPANY
PAYROOL REGISTRATION
ON APRIL 31/2018
SRIAL EMPLOYEE BASIC OVER GROSS INCOM PENSION TOTAL NAT PAY SIG
NO NAME SALERY TIME EARNIN TAX DEDAC
G
1 TIRUSEW 10,500 10,500 2,195 735 2,930 7570

2 NIGATU 8,121 2,379 10,500 2,195 568.47 2763.47 7,736.53

3 GELETA 15,750 15,750 4,012.5 1,102.5 5,115 10,635

4 YEMARIYAM 2,220 2,220 190.5 155.4 345.9 1,874.1

5 NEGATEH 863.33 26.33 60.43 86.76 776.57

863.3
3
TOTAL 37,4564.3 2,375 39,833.3 8,619.33 2,621.8 11,241.13 28,592.20
3 3

TO RECORD SALERY AND OTHER BANEFIT

SALERY EXPENSE …………………………………………….39,833.33
INCOM TAX PAYABLE………………………………………..8,619.33
PENTION PAYABLE ………………………………………….2,621.80
Salary payable ………………………………………………….28,592.20

TO RECORED PAYMENT OF LIABILITY

INCOM TAX PAYABLE ………………………………………….8,619.33
PENTION PAYABLE……………………………………………2,621.80
Salary payable ……………………………………………….28,592.20
CASH……………………………………………………………………………39,833.33

TO RECORDE PANTION CONTRBIUTION

PAYROLL EXPANSE=

PAYROL EXPANSE …………………………………………………4,119.98

PANTION PAYABLE ……………………………………………………4,119.9

Pension expense ……………………………….4,119.98

Cash …………………………………………………4,119.98
Project two
a. fees receivable ………………………..9,750
service revenue ………………………9,750

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 b. supplies expense …………………485
supplies…………………………………485
c. insurance expense ………………………..2,100
prepaid insurance ……………………………….2,100
d. advertising expense ………………….750
prepaid advertising ……………………750
e. salary expense ……………………………….1,140
salary payable …………………………………..1,140
f. cash………………………..7000
unearned rent …………………..700
BB Company
Income statement
For year ended June 30
Fees earned ……………………………………………..62,250
Service revenue ……………………………………….9,750
Rent income …………………………………………12,300
Total income ………………………………………………………………….86,300
Salary expense ……………………………………….37,840
Advertising expense ………………………………..13,660
Supplies expense ……………………………………..485
Insurance expense ……………………………………2,100
Total expense ……………………………………………………………..54,085
Net income ………………………………………………………………….32, 215
BB company
Balance sheet
For the year ended june 30
Asset
Cash ……………………………………………….10,480
Fees receivable …………………………………58,060
Prepaid insurance ……………………………….1,625
Supplies …………………………………………….190
Prepaid advertizing ……………………………900
Total asset …………………………………………………….71, 255
Liability
Account payable ……………………………..37,200
Salary payable …………………………………1,140
Unearned rent ………………………………….700
Total liability ……………………………………………………..39,040
Capital
Capital …………………………………………………………………32,215
Total liability and capital ……………………………………….71, 255
Project 3
Printer inc Company
Bank reconciliation
April30, 2012
Bank balance --------------------------10,367.76 Depositor balance--------------7,091.32
Add deposit in transit-----------------510.06 Add Error-----------------18
Subtotal--------------------------------10,877.82 Note receivable-----------------2,500
Less; outstanding check Interest income-----------------125

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 Check no 755--------172.75 Less; NSF--------------------------311.80
Check no 758-------359.60 service charge----------------24.50
Check no 759------601.50 Adjusted balance-----------9,398.02
Check no 736----------345.95
Total------------------1,479.80
Adjusted balance……… 9,398.02

Journal entries
1. Depositor error
Cash -------------18
Sales ---------------18
2. Note receivable and interest

Cash --------------2625
Note receivables-------------2,500
Interest income------------------125
3. NSF
Account receivable---------311.80
Cash ------------------------311.80
4. Service charge
Service charge ----------------24.5
Cash-----------------------------24.5

Project 4

Sales budget

January February March Total

Product Unit price Total Unit price Total Unit price Total
A

Area1 6,500 50 325,000 6,900 50 345,000 6,600 50 330,000

Area2 2,500 50 125,000 3,000 50 15,000 4,500 50 225,000

Sub 9,000 450,000 9,900 495,000 11,100 555,000

sales

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Product
B

Area1 1,950 70 136,500 1,500 70 105,000 1,500 70 105,000

Area2 500 70 35,000 600 70 42,000 1,500 70 105,000

Sub 2,450 171,500 2,100 147,000 3,000 210,000

Sales

Total 621,500 642,000 765,000 2,028,500

sales

Production Budget
January February March Total

A B Total A B Total A B Total

Estimated sales
9,000 2,450 11,4 9,900 2,100 11,000 3,000
unit 50

Add: 20,000 10,00 20,000 10,00 20,000 10,00

Ending 0 0 0
inventory

Total unit 29,000 12,45 29,900 12,10 31,100 13,00

required 0 0 0

Less: (21,00 (9,00 (21,00 (9000 (21,00 (9,00

Beginning 0) 0) 0) ) 0) 0)
inventory

Schedule 8,000 3,450 11,4 8,900 3,100 12,00 10,100 4,000 14,10 37,550
d 50 0 0
produces

Quarter production=11,450+12,000+14100=37,550

Sand Raw material purchase Budget

January February March Total

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 A B Total A B Total A B Total

Scheduled 8,000 3,450 11,450 8,900 3,100 12,000 10,100 4000

produces

Material 20 kg 15 20 15 20 15
per unit

Total unit 160,00 51,75 178,00 46,50 202,00 60,00

required 0 0 0 0 0 0

Unit cost .5 .5 .5 .5 .5 .5

Cost of 80,000 25,87 105,87 89,000 23,25 112,25 101,00 30,00 131,00 349,125
material 5 5 0 0 0 0 0
purchase

Steel Raw material purchase Budget

January February March Total

A B Total A B Total A B Total

Scheduled 8,000 3,450 11,450 8,900 3,100 12,000 10,100 4000

produces

Material per 10 kg 15 10 15 10 15
unit

Total unit 80,000 51,750 89,000 46,50 101,00 60,00

required 0 0 0

Unit cost 1 1 1 1 1 1

Cost of 80,000 51,750 131,75 89,000 46,50 135,50 101,00 60,00 161,00 428,250
material 0 0 0 0 0 0
purchase

Chemical Raw material purchase Budget

January February March Total

A B Total A B Total A B Total

Scheduled produces
8,000 3,450 11,450 8,900 3,100 12,000 10,100 4000

Material per 10 kg 15 10 15 10 15
unit

Total unit 80,000 51,750 89,000 46,500 101,000 60,000

required

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Unit cost 5 5 5 5 5 5

Cost of 400,000 258,750 658,750 445,000 232,50 677,500 505,000 300,000 805,000 2,141,250
material 0
purchase

Project 5
1.1 material purchase
Purchase merchandize inventory
Raw materials (500+790+45000-------5,790
Account payable-------------------------------------5,790
1.2 Direct materials issued
Work in process (227.5+780+3900) -------------4,907.50
Raw material purchase -------------------------------------------4,907.50
1.3 Direct labor cost
Work in process (160+210+175) --------545
Salary payables---------------------545
1.4 Factory overhead
Job#1(160*.80) ----------------128
Job#2(210*.80) ----------------168
Job#3(175*.80) ---------------140

Work in process--------436
FOH-----------------------------------------------436
1.5 Finished goods--------5,888.50
Work in process--------------------------5,888.50
1.6 cost of goods sold----------7,800
Finished goods--------------------------------7,800
1.7 Cash-------------7,800

Sales------------------7,800
2. Calculate the cost of each job
Job#1 Total cost =DM+DL+FOH=227.50+160+128=515.50
Job#2 Total cost =DM+DL+FOH=780+210+168=1,158
Job#2 Total cost =DM+DL+FOH=3900+175+140=4,215
Total cost for three jobs=515.50+1158+4215=5,888.50
3. Calculate total amount of Gross profit

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 Gross profit =Sales –COGS=7800-5,888.50=1,911.50
A. Cost of goods sold =15*30=450
=5*32=160
610
B. cost of ending inventory on hand =5*32=160
=10*33=330

490
C. sales =5*35=175
=12*39=468
= 3*40=120
763

Gross profit =sales-Cost of goods sold=763-610=153

Purchase Cost of goods sold Inventory balance

Date
unit unit Total price uni unit Total uni unit Total price
price t price price t price

Oct 1 15 30 450

Oct5 5 30 1150 10 30 300

Oct10 10 32 320 10 30 300

10 32 320

Oct 17 10 30 300 8 32 256

2 32 64

Oct22 3 32 96 5 32 160

Oct30 10 33 330 5 32 160

10 33 330

Cost of Goods sold=150+300+64+96=635

Cos of ending inventory on hand=160+330=690
Gross profit =sales-Cost of goods sold=763-635=128

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