w
w
ap
eP
m
e
tr
.X
w
CAMBRIDGE INTERNATIONAL EXAMINATIONS
9706 ACCOUNTING
9706/21
Paper 2 (Structured Questions – Core),
maximum raw mark 90
This mark scheme is published as an aid to teachers and candidates, to indicate the requirements of
the examination. It shows the basis on which Examiners were instructed to award marks. It does not
indicate the details of the discussions that took place at an Examiners’ meeting before marking began,
which would have considered the acceptability of alternative answers.
Mark schemes should be read in conjunction with the question paper and the Principal Examiner
Report for Teachers.
Cambridge will not enter into discussions about these mark schemes.
Cambridge is publishing the mark schemes for the October/November 2012 series for most IGCSE,
GCE Advanced Level and Advanced Subsidiary Level components and some Ordinary Level
components.
om
.c
MARK SCHEME for the October/November 2012 series
s
er
GCE Advanced Subsidiary Level and GCE Advanced Level
Page 2
1
Mark Scheme
GCE AS/A LEVEL – October/November 2012
Syllabus
9706
Paper
21
(a) Calculation of purchases of goods for re-sale
$
(14 000)
88 600 1
13 600 1
88 200 1
Opening trade payables
Payments to suppliers
Closing trade payables
Total goods for resale
[3]
(b) Calculation of total sales
Opening trade receivables
Receipts from customers
Closing trade receivables
Credit sales
Add: cash sales
Total sales
$
(18 000)
132 900
20 500
135 400
6 600
142 000
1
1
1
1
1
N.B. Accept creditors and debtors control accounts for marks
(c)
[5]
Calculation of stock loss
Total sales
Gross profit @ 40%
Cost of sales
Closing stock
$88 200 + $6 000 – $85 200 =
Actual stock @ cost
$14 000 × 60% =
Cost of stock lost
$
142 000
56 800
85 200
9 000
8 400
600
1
1
2
2
1 of
[7]
of = own figure
(d)
Asset disposal of account
Cost of vehicle sold
Profit on disposal
$
16 000
Depreciation of vehicle
(16 000 × 25% × 2)
$
8 000 2
600 1of
Bank
Trade in allowance
16 600
© Cambridge International Examinations 2012
3 600 1
5 000 1
16 600
[5]
Page 3
Mark Scheme
GCE AS/A LEVEL – October/November 2012
(e)
Syllabus
9706
Paper
21
Income statement for the year ended 30 June 2012
Sales
Opening inventory
Purchases
Closing inventory
Cost of goods sold
Gross profit
Profit on disposal of vehicle
142 000
6 000
88 200
(9 000)
85 200
56 800 1 of
600 1 of
57 400
Provision for doubtful debts (20 500 × 3%)
Stock loss
Expenses (17 400 – 500 – 320)
Depreciation
Fixtures
(32 000 × 10%)
Motor vehicles
(65 000 – 16 000 + 20 000 × 25%)
615 1
600 1 of
16580 2
3 200 1
17 250 2
38 245
19 155 1 of
Net profit
[10]
[Total: 30]
2
(a)
Balance b/d
Income and expenditure
Balance c/d
(b)
$
2 600 1
86 980 1
Balance b/d
Bank
Bad debts
Balance c/d
4 500 1
94 080
$
6 300
84 400
280
3 100
94 080
1
1
1
1
[7]
PPE Rowing Club
Income and Expenditure Account for the year ended 31 March 2012
$
Income
Subscriptions
Profit from competitions
[12 200 – (3 100 + 800 – 300)]
Profit from dinner dance
[14 000 – (2 400 + 5 200)]
Donations
Interest
$
86 980 1 of
8 600 4
6 400 3
1 500
500 1
103 980
Expenditure
Insurance
Clubhouse maintenance
General expenses
Electricity
Bad debts
Depreciation
Loss on Sale of fixed asset
Surplus of income
9 800
10 300
29 800
1 600
280
40 000
2 000
1
1
1
1
93 780
10 200
© Cambridge International Examinations 2012
[13]
Page 4
Mark Scheme
GCE AS/A LEVEL – October/November 2012
(c)
Syllabus
9706
Paper
21
PPE Rowing Club
Statement of Financial Position at 31 March 2012
Non current assets
$
$
Clubhouse
Equipment
Current assets
Stock of prizes
Subs owing
Interest owing
Deposit account
Bank
$
150 000
140 000
290 000 1
300
3 100 1
500 1
20 000
10 500 2
34 400
Current liabilities
Subscriptions in advance
General expenses owing
4 500 1
400 1
4 900
Working Capital
29 500
319 500
Financed by
Accumulated Fund
Surplus of income
309 300 2 OR 0
10 200 1 of
319 500
Award 1 for Accumulated Fund figure of $306 300
[10]
[Total: 30]
3
(a) (i)
Basic
4 000
3
Deluxe
2 000
5
Super
500
8
12 000
10 000
4 000
Units
X by Hours
Total labour hours
(ii) FOHRR –
(iii)
$39 000 1
26 000 1 of
Total
2
26 000
= $1.50 per DLH 1 of
Basic
$
Sales price
12
Variable cost
6
Contribution per unit
6
Deluxe
$
20
14
6
[2]
[3]
Super
$
30
16
14
1×3
[3]
(iv)
Basic
$
Contribution per unit
6
Labour hours
3
Contribution per
direct labour hour
2.00
Deluxe
$
6
5
Super
$
14
8
1.20
1.75
1×3
© Cambridge International Examinations 2012
[3]
Page 5
Mark Scheme
GCE AS/A LEVEL – October/November 2012
(b)
Basic
1
4 000
3
12 000
Order of priority
Sales
Hours per unit
Total hours
Hours left
1
4 000
Units
(c) (i)
Deluxe
3
2 000
5
10 000
8 400
2
1 680
Syllabus
9706
Paper
21
Super
2
500
8
4 000
1
500
[4]
Profit Statement
Basic
4 000
Sales (units)
Sales income
Less
Variable costs
Total cont.
Less Fixed costs
Deluxe
1 680
Super
500
$
48 000
$
33 600
(24 000)
24 000
(18 000)
(23 520)
10 080
(12 600)
(8 000)
7 000 3
(6 000) 3
6 000
(2 520)
1 000 1
Net profit/loss
$
15 000
[7]
(ii) Estimated FC
Actual FC
$39 000 1
36 600 1 of
OH underabs
2 400 1 of
[3]
1 = 2 000 units 1 = $200 000 1
[3]
(d)
$
100
95
5
Sales price
Variable costs
Contribution
BEP =
$10 000
5
(e) BEP = $10 000/5 =
Less sales
Margin of safety
2 000 units
2 200 units
200 units 1
Margin of safety (value)
$20 000 1
[2]
[Total: 30]
© Cambridge International Examinations 2012