QUESTION 1 Ciara Kingley has her own business, Mink Stores. She sells blankets,
pillows and bed linen for cash only. The accountant always maintains a
favourable bank balance. The following transactions, amongst others, took
place in the business during February 2020.
REQUIRED
ANALYSE THE TRANSACTIONS ACCORDING TO THE FOLLOWING
HEADINGS: (30 marks)
Subsidiary Book, Account Debited, Account Credited, Effect on the
Accounting Equation A + 0 + L. The net effect must be shown.
e. g. Received rent for two months from the tenant, G Genius, Rent is R500
per month
TRANSACTIONS DURING FEBRUARY 2020
4
5
14
Purchased 30 blankets on credit from Sunshine Stores. The
blankets cost R80 each.
The blankets were delivered by Kita Transport. Payment of R600
was made electronically - being cost of delivery.
Received the quarterly (3 months) interest at 9% pa. from Usher
Bank on a fixed deposit of R30 000.
Ciara's daughter moved into a boarding home called Fulfill Your
Dreams. Payment of R800 was done via EFT to pay the term's
boarding fees
Paid casual wages from petty cash, R200.
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Which of the following actions would be most likely to reduce potential conflicts of interest between stockholders and bondholders? a) compensating managers with stock options, b) financing risky projects with additional debt, c) the threat of hostile takeovers, d) the use of covenants in bond agreements that limit the firm's use of additional debt and constrain managers actions, e) abolishing the security and exchange commission

What are the period and vertical shift of the cosecant function below? period: ; vertical shift: 1 unit up period: ; vertical shift: 2 units up period: ; vertical shift: 1 unit up period: ; vertical shift: 2 units up?

The following selected circumstances relate to pending lawsuits for erismus, inc. erismus’s fiscal year ends on december 31. financial statements are issued in march 2019. erismus prepares its financial statements according to u. s. gaap. required: indicate the amount erismus would record as an asset, liability, or not accrued in the following circumstances. 1. erismus is defending against a lawsuit. erismus's management believes the company has a slightly worse than 50/50 chance of eventually prevailing in court, and that if it loses, the judgment will be $1,000,000. 2. erismus is defending against a lawsuit. erismus's management believes it is probable that the company will lose in court. if it loses, management believes that damages could fall anywhere in the range of $2,000,000 to $4,000,000, with any damage in that range equally likely. 3. erismus is defending against a lawsuit. erismus's management believes it is probable that the company will lose in court. if it loses, management believes that damages will eventually be $5,000,000, with a present value of $3,500,000. 4. erismus is a plaintiff in a lawsuit. erismus's management believes it is probable that the company eventually will prevail in court, and that if it prevails, the judgment will be $1,000,000. 5. erismus is a plaintiff in a lawsuit. erismus’s management believes it is virtually certain that the company eventually will prevail in court, and that if it prevails, the judgment will be $500,000.