Uuestions: What does LTD stand for and means?
1.2.
What do we mean by internal statements?
(2)
Why is it so important for a company to prepare financial statements?
(2)
Gross profit has improved by R50 000. Suggest TWO ways to improve it further in
2018
Calculate the Profit after tax for 2018 if the income tax is 28% of the net profit.
1.6.
1.7
SARS Income tax for 2017 was debited and for 2018 credited. Explain the difference
between the two
(4)
Why a company pays tax? Which GAAP principle supports this?
The Directors asks for your advice, they want to manipulate the income tax to be paid
to SARS by not subtracting prepaid expenses from operating expenses.
1.8.1 Would you agree with them? Motivate.
(3)
1.8.2 Which GAAP principle will be interfered with?
1.8.3 What could be the consequences to the company if SARS can find out that
they overstated figures?​

The following accounts appeared in recent financial statements of delta air lines. identify each account as either a balance sheet account or an income statement account. for each balance sheet account, identify it as an asset, a liability, or stockholders' equity. for each income statement account, identify it as a revenue or an expense. item financial statement type of account accounts payable balance sheet advanced payments for equipment balance sheet air traffic liability balance sheet aircraft fuel (expense) income statement aircraft maintenance (expense) income statement aircraft rent (expense) income statement cargo revenue income statement cash balance sheet contract carrier arrangements (expense) income statement flight equipment balance sheet frequent flyer (obligations) balance sheet fuel inventory balance sheet landing fees (expense) income statement parts and supplies inventories balance sheet passenger commissions (expense) income statement passenger revenue income statement prepaid expenses income statement taxes payable balance sheet

M. cotteleer electronics supplies microcomputer circuitry to a company that incorporates microprocessors into refrigerators and other home appliances. one of the components has an annual demand of 235 units, and this is constant throughout the year. carrying cost is estimated to be $1.25 per unit per year, and the ordering (setup) cost is $21 per order. a) to minimize cost, how many units should be ordered each time an order is placed? b) how many orders per year are needed with the optimal policy? c) what is the average inventory if costs are minimized? d) suppose that the ordering cost is not $21, and cotteleer has been ordering 125 units each time an order is placed. for this order policy (of q = 125) to be optimal, determine what the ordering cost would have to be.

Taking commercial paper means the holder acts honestly