AIN2601 – 2021

Mr. Duwayne Kock

Pastel
Exam
Revision
Class
 FINAL MARK CALCULATION
Year mark: 25%
Exam mark: 75%
Final mark: 100%

You need a final mark of 50% to pass.

Supplementary students:
You need a final mark of 50% to pass (refer above)

Aegrotat students:
Last semester’s year mark transfers to this semester

Refer to TL102/2021 for more detail

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 EXAM INFO
QUESTION MARKS
Multiple choice questions 8
Fill in the missing word 8

Longer questions from the study guide 1 and 2; Pastel Training Manual
84
TOTAL 100

Data management and utilisation

Part 1 and 4 ± 31%
Management reporting systems
Part 2 Spreadsheets ± 33%
Part 3 Transaction processing ± 36%
TOTAL 100%

There are NO OLD QUESTIONS from previous exams in this exam paper.
All the questions for this exam are original questions!

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 WHAT TO STUDY
• Study guide 1 and 2 can be found in MO001 and MO002
– Printed version
– myUnisa Additional resources - .pdf version
– myUnisa Learning units – online version

• TL202 contains important feedback on Assignment 02

• TL102 contains helpful exam guidelines (not exam scope)

• Pastel Partner training manual

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 WHAT TO STUDY
PASTEL/TRANSACTION PROCESSING:

• Pastel training manual

• Topic 6 in your study guide
• TL202
• Transaction processing: Topic 3 SU 7,8,9,10

Answers to the Pastel manual questions:

• Pastel CD: “Data files accompanying Pastel course
ware”

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Pastel component – 1-3
 Amount due vs Amount outstanding

• Is there a difference? What is the

difference?
• Amount due: Based on the terms set out for
customer or by supplier, payment not
expected immediately but after a certain time.
i.e 30days, 60days.
• Full amount outstanding: Pay full balance
outstanding, regardless of terms.
 Amount due vs Amount outstanding

• Example 1:
• 14 Jun 21 - Tsepang buys goods for R1250.
• 8 Jul 21 – Tsepang buys good for R550.
• Customers normal monthly payment terms are
30 days after the period

• 30 Jun: What is the amount due by

Tsepang?
 Amount due vs Amount outstanding

• 30 Jun: What is the amount due by

Tsepang?
• R0, why?
• 30days not yet up. Payable after 30 days…..
 Amount due vs Amount outstanding

• Example:
• 14 Jun 21 - Tsepang buys goods for R1250.
• 8 Jul 21 – Tsepang buys good for R550.
• Customers normal monthly payment terms are
30 days after the period
• When is it expected for her to pay for the
14 Jun purchases?
 Amount due vs Amount outstanding

• When is it expected for her to pay for the

14 Jul purchases?
• End July 2021
• Why? 30days i.e the following month
 Amount due vs Amount outstanding

• Example 2:
• 14 Jun 21- Tsepang buys goods for R1250.
• 8 Jul 21 – Tsepang buys good for R550.
• Customers normal monthly terms are 30 days
after the period.
• Early payment terms: At 10% within 8 days
from invoice date
• 16 Jul: Tsepang decides to pay full amount
outstanding on this date.
 Amount due vs Amount outstanding

• 16 Jul: Tsepang decides to pay full amount

outstanding on this date.
• Calculate the total amount:
• 14 Jun sale: R1250
WHY? Inv date > 8 days
• 8 Jul sale: R495
WHY? Inv date =< 8 days
R550*0.90
Pastel Question component
BACKGROUND
John Bear Equipment is a business that sells various types of
farming and construction equipment including tractors, ploughs
and bulldozers. They use Pastel to record their business
transactions. Both John Bear and The Farm Factory (FAR001) are
registered VAT vendors. John Bear always purchases tractors and
ploughs on credit from The Farm Factory.

Pastel has been setup that the inventory is integrated with the
general ledger (perpetual inventory system), and the inventory
quantity on hand is therefore reflected as soon as it has been
received into the system. It is the policy of John Bear to record the
inventory immediately when received or sold.

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1.1 Which Pastel main menu will you use for the following procedures?
1.1.1 Adjust Invoice Discount (1)
1.1.2 Change user access rights (1)
1.1.3 Capture a supplier invoice (1)
1.1.4 Print the Inventory Reorder Report (1)
1.1.5 Open a company (1)

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 Customer & Supplier

• Early Payment Terms

– Period End vs Invoice Date
– Discounts

• Age Analysis

• Open Item vs Balance Forward

 Inventory

• Set – Up
– Why Must inventory be set up correctly?

• Min & Max Reorder Qty

– Purpose & Effect on Stock

• Prices
– Standard/Private & Dealer/Wholesale etc… Why?
 Inventory

• Physical & Service Characteristics

– Can include on supplier journals

• Physical
– Reorder Levels impact
– On hand Quantity monitoring
• Service
– Cannot use for Inventory Journals
– Infinity: sales
 PASTEL
QUESTION 1

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BACKGROUND
AMS Cell Phones (Pty) Ltd is a business that sells various types of
mobile devices, accessories and services. They use Pastel to
record their business transactions. Both AMS and Dark Wing Ltd
(DAW698) are registered VAT vendors. AMS always purchases
phones and batteries on credit from Dark Wing Ltd.

Pastel has been setup that the inventory is integrated with the
general ledger (perpetual inventory system), and the inventory
quantity on hand is therefore reflected as soon as it has been
received into the system. It is the policy of AMS to record the
inventory immediately when received or sold.

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1.1 In Pastel Partner the 16GB Huawei Android phone inventory item reorder level was setup with a minimum reorder level of 20
and a maximum reorder level of 45. If the inventory quantity on hand was 19 and a customer’s tax invoice is processed for
four (4) 16GB Huawei Android phones, what will be reflected on the inventory reorder report as the quantity to order for
16GB Huawei Android phones? (2)

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 PASTEL
QUESTION 2

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BACKGROUND
AMS Cell Phones is a business that sells various types cell phone
devices, accessories and specialised services. AMS Cell Phones
is a registered VAT vendor and the financial year ends on the last
day of March 2019.

AMS Cell Phones uses Pastel Partner to record their business

transactions. The inventory integration has been setup that the
inventory is integrated with the general ledger (perpetual inventory
system).

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 Only two of AMS Cell Phones customers, namely Casz Mobile Ltd (CAM925) and
Feona Laser (FEL329), are allowed to buy on credit. All other customers must pay
cash for their purchases.
Casz Mobile Ltd is a registered VAT vendor but Feona Laser is not a registered VAT
vendor.

• AMS Cell Phones customer terms are as follows:

• normal monthly terms are 30 days
• customer accounts are prepared using both open item and balance forward
processing
• invoice discount for Casz Mobile Ltd has been set up as 10% and for Feona Laser
as 5%
• early payment terms is set up as 8% within 15 days from invoice date for
customers who are allowed to buy on credit
• VAT is calculated at 15%

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 Below is a screen print of the customer age analysis as at 30 April 2019

2.1 Refer to the printed Pastel Partner Customer Age Analysis.

2.1.1 Which customer account was processed using open item processing? Provide a reason for your answer.
2.1.2 Which customer account was processed using balance forward processing? Provide a reason for your answer.
(2)
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2.2. Refer to the printed Pastel Partner Customer Age Analysis. Customer invoice of 0265
was paid in full by Casz Mobile Ltd using the reference RC124.
What was the amount paid in cash by Casz Mobile Ltd to AMS Cell Phones? Show detail of
your calculation as part of your answer (3)

2.3. In which accounting period was invoice 0189 issued to Feona Laser on 9 January 2019
captured? List only the accounting period number. (1)

Please refer to the case study information to answer questions 4.5 to 4.7.

2.4. Which Pastel main menu will you use for the following procedures?
2.4.1 Restore a backup of a company (1)
2.4.2 Print the customer age analysis (1)
2.4.3 Create a customer quotation (1)
2.4.4 Change user access rights (1)
2.4.5 Modify a specific customer’s early payment terms (1)

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 PASTEL
QUESTION 3

14% VAT
For Practice Purpose

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Please refer to the payment cash book screen below to answer questions 3

3. In the “GCS” column of the payment cashbook journal each letter has a specific meaning.
3.1 What does the letter “G” represent? (1)
3.2 What does the letter “C” represent? (1)
3.3 What does the letter “S” represent? (1)

3.4. Why is the “C” normally not available in the “GCS’ column of the payment cash book journal? (1)

3.5. Assume there are no receipt transactions. Calculate the bank balance amount for general ledger account
8400/000 if the current payment journal batch was updated as it currently is? Your answer should indicate
if the general ledger balance is a debit or a credit balance. (2)

3.6. Identify which transaction was captured incorrectly on this journal and should, therefore, be deleted before
updating the batch. Also give a brief reason why this transaction was captured in the wrong journal. (2)
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QUESTION 4 (9 marks)

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 PASTEL
QUESTION 4

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 PASTEL
QUESTION 5

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 PASTEL
QUESTION 6

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QUESTION 4

LovelyMe is a business that sells ball gowns and beauty accessories. A ball gown is a type
of dress worn to a ball or formal event. They started using Pastel Partner software to record
their business transactions on their first day of incorporation. They have been in operation
for five years. They are a registered VAT vendor and the current VAT rate is 15%.

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4.1.
Different customer documents will influence the inventory quantity on hand differently. The
inventory quantity can increase, decrease or have no effect. Draw the table below in your answer
book. Now use this table to indicate the effect the listed customer source document will have on the
inventory quantity on hand. (3)

Customer source document Effect on inventory quantity on hand: Increase/Decrease/No effect

Sales order (a)
Delivery Note (b)
Quotation (c)

4.2 Refer to the Pastel Partner screen print on the previous page. Shown on the Pastel
Partner screen print is the default information of Chedgars (A regular customer of LovelyMe).
Chedgars purchases three (3) prom gowns on 14 April 2019 on credit. The price is
R2,400.00 excluding 15% VAT per gown. Chedgars pays for the purchase on 26 April 2019
in full. Calculate the amount Chedgars has to pay when settling its account in full. Show the
detail of your calculations as part of your answer. (3)

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Pastel Partner has been setup that the inventory is integrated with the general ledger (perpetual
inventory system), and the inventory quantity on hand is therefore reflected as soon as it has been
received into the system. It is the policy of LovelyMe to record the inventory immediately when
received or sold.

The following is a screen print from LovelyMe’s Pastel Partner software:

LovelyMe requires their customers to sign the delivery notes when the inventory
items are delivered to them. The sales clerk of LovelyMe then converts the delivery
note into a sales invoice on Pastel by linking the two documents, where after the
sales invoice is printed and then sent to the customer

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The trial balance of LovelyMe gave you the following additional general ledger account numbers and account descriptions.

Account number Account description

8000/000 Customer Control Account
9000/000 Supplier Control Account
9500/000 Vat / Tax Control Account

LovelyMe requires their customers to sign the delivery notes when the inventory items are delivered to them. The sales clerk of
LovelyMe then converts the delivery note into a sales invoice on Pastel by linking the two documents, where after the sales
invoice is printed and then sent to the customer.

LovelyMe sold and delivered two (2) wedding gowns at R11,760.00 each, excluding VAT, to TruForch on credit. The cost price of a
wedding gowns for LovelyMe is R9660.00 each, including VAT.

4.3 Draw the table below in your answer book. Now use this table to write the accounting entries into the general ledger master
file for the customer’s invoice captured onto Pastel by the sales clerk of LovelyMe. Note: you need to show all applicable
accounting entries relating to the sale. (10)
General ledger General ledger Debit/Credit Amount
account account
number description

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