OXFORD CAMBRIDGE AND RSA EXAMINATIONS LEVEL 2 AWARD IN BOOKKEEPING &

ACCOUNTING SKILLS (COMPUTERISED) 05528 UNIT C4: SETTING UP ACCOUNTING SOFTWARE TO MANAGE ACCOUNTING INFORMATION

SAMPLE ASSESSMENT - CANDIDATE TIME: 2 HOURS

INSTRUCTIONS TO CANDIDATES 1 You have TEN minutes to read through this question paper before the start of the examination. 2 You must write the following assignment code in the appropriate boxes on the front of the Submission

Cover Sheet: SAM. 3 You should answer all questions.

4 You should attach your printouts to the Submission Cover Sheet provided. 5 You must carry out the printing of all documents yourself. All printouts must contain your name. 6 Printing may be undertaken outside the 2 hours allowed for this examination but no amendments may be

made to the text after that time has expired. 7 Any printouts generated that are additional to those required must be clearly marked as additional with a

line drawn through and attached to your Submission Cover Sheet.

QCA Accreditation Number: F/601/3649

This document consists of 12 printed pages

05528/02/C4/SAMPLE/CANDIDATE © OCR 2010 Registered Company Number: 3484466 [Turn over

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SCENARIO You are employed as the Assistant Accountant of The Gift Box UK, a business selling ornaments and books. The owner Athittaya Murray is a sole trader. Last month, a new computerised accounting system was installed and you delegated the job of transferring the old manual bookkeeping records to a new member of staff. However, some of the information has been overlooked and is missing from the system. Your task is to find and enter the missing accounts and data, process journals to record a variety of transactions, deal with management information and print specified reports for July 2010. The company's current financial year starts at 1 May 2010 (year ending 30 April 2011).

BUSINESS DETAILS

Business Name The Gift Box UK

Established 2008

Address Century House, Market Street, Nantwich, Cheshire NT6 9GH

Telephone No 01476 289280

VAT Scheme Standard (the VAT Reg No is 234 8715 97)

Current year starts 1 May 2010 (year ending 30 April 2011)

VAT Rates in use 17.5%, 5.0%, 0.0%, VAT Exempt and Transactions Not Involving (not liable to) VAT

Accountant Wardle & Cross

IMPORTANT NOTES: You are strongly advised to carry out the tasks in this examination paper in the order in which they appear. You must ensure your name is shown on each report submitted for assessment. It is important that you do not open or use any additional Nominal Ledger Accounts unless instructed to do so.

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INSTRUCTIONS Assessment

Criteria

1 Open the accounting software application.

Restore the backup file to your accounting software and set an appropriate program date.

Amend the company name as per the details on page 2.

1.1

2 Identify and enter the missing customer accounts and details from page 6.

1.1

3 Identify and enter the missing sales ledger invoices, credit notes and/or customer receipts as detailed on page 7.

3.1, 4.1, 4.2, 4.3

4 Identify and enter the missing supplier accounts and details from page 8.

1.1, 3.1

5 Identify and enter the missing purchase ledger invoices, credit notes and/or supplier payments as detailed on page 9.

3.1, 5.1, 5.2, 5.3

6 Identify and enter the missing nominal account opening balances and budgets as at 30 June 2010 as detailed on page 10.

2.1, 2.2

7 Allocate receipts to the correct customer or nominal account as detailed on page 11.

4.1, 4.2, 4.3, 6.1, 6.2

8 Allocate payments to the correct supplier or nominal account as detailed on page 12. Remittance Advice Notes must be printed for each supplier payment. Number these P1.

5.1, 5.2, 5.3, 6.1, 6.2

9 Beauty & Knowledge Co being both a customer and a supplier has accounts in both our sales and purchase ledgers.

Allocate the credit note BC92 (£321.90) against the invoice B492 (£948.30) in the purchase ledger account.

Process the remaining balance by a contra entry, offsetting the balance of the purchase ledger against the sales ledger account.

5.1

4.4, 5.4

10 A cheque, value £1,500.00 from Beautiful Gifts, which was received and banked on 21 June 2010, has been returned marked ‘Refer to Drawer’. Please process the returned cheque ensuring that the sales ledger and nominal ledger accounts are updated correctly, dating the transaction 21 June 2010.

4.4

11 On 15 July 2010 the business received notice that The Thoughtful Company had been declared bankrupt. Please write off the balance on their account as a bad debt using this date.

4.4

4

Assessment Criteria

12 An error has been discovered in the earlier manual bookkeeping records. Process this correction as at 31 July 2010 using Journal Entries and a unique reference. The Van Servicing payment (£372.67 net) which should have been analysed to the Vehicle Expenses Account has been processed to the Repairs & Renewals Account in error.

7.1

13 A new computer costing £473.35 Net, £82.83 VAT and £556.18 Gross has been purchased by the company using cheque number 16246 and you are to record this in the books. Process this transaction as at 31 July 2010, using Journal Entries and a unique reference. (The fixed asset is standard rated for VAT purposes and the bank payment is not liable to VAT).

7.1

14 A cheque for £95.75 from a cash sale of books has been returned by the bank marked ‘Refer to Drawer’. As the customer cannot be traced, please write off this amount as a bad debt, using Journal Entries and a unique reference. Please date the journal 31 July 2010. (VAT is not involved).

7.1

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Assessment Criteria

15 Produce a printout of each of the following reports:

Please note: ALL printouts should be assembled in the requested order. Do not staple reports together.

8.1

(a) A Trial Balance as at 31 July 2010. Number it P2.

(b) A Summary Audit Trail showing ALL transactions. Number it P3.

(c) A Quarterly Budget Report as at 31 July 2010. Number it P4.

(d) A Bank Current Account and Cash Account Activity Report showing ALL transactions as at 31 July 2010. Number it P5.

(e) A Detailed Aged Debtors Analysis as at 31 July 2010. Number it P6.

(f) A Detailed Aged Creditors Analysis as at 31 July 2010. Number it P7.

(g) Customer Statements as at 31 July 2010 for the following customers (showing ALL transactions):

Knick-Knacks China Heaven A Myers Ltd

Number these statements P8.

(h) A Customer Address List. Number it P9.

(i) A Supplier Address List. Number it P10.

16 Ensure all data is secure and exit from the accounting software application.

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Material for Task 2 starts here:

CUSTOMER ADDRESS LIST AS AT 30 JUNE 2010

AM4 AP8 A Myers Ltd Anton Purvis The Old Vicarage The Strand Wigston Magna Sutton Way Wigston Ellesmere Port Leicestershire Cheshire LE18 5QR CH65 2KR Contact: Rita Jones Contact: Ivan Gormley Tel: 0116 973 2899 Tel: 01244 876098 BA1 BG5 Books Always Beautiful Gifts Vale House Hilltop House 24 Lister Avenue Redhall Street Warwick Croydon Warwickshire Surrey CV34 6RH CR9 9TY Contact: Marilyn Kingdom Contact: Fiona Smith Tel: 01876 564982 Tel: 01784 625347 BK3 CE2 Beauty & Knowledge Co Collectors Ever 54 Mile End Road 88 Chester Street Lakenham Werneth Park Norwich Bolton Norfolk Lancs NR2 2PX BL17 9XC Contact: Winifred Sampson Contact: Fred Nutall Tel: 01603 989265 Tel: 01612 967834 CH8 GG6 China Heaven Gifts Galore Ltd Friars Trading Estate Penarvon Grange Midhall Tower Road Bury Evesham Lancs Worcs M46 8DC WR8 8FR Contact: Mary Hall Contact: James Donaldson Tel: 01486 955723 Tel: 01711 356924 KK2 TC7 Knick-Knacks The Thoughtful Company Quarry Pump House 15 Rope Walk 24 Newport Road Tollygally Dungannon Burgess Hill Co Tyrone West Sussex BT71 7UA RH15 7TC Contact: Jane Tomlinson Contact: John Hudson Tel: 02841 871434 Tel: 01273 606623

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Material for Task 3 starts here: SALES LEDGER ACCOUNT TRANSACTIONS AS AT 30 JUNE 2010 B A L A N C E CUSTOMER DATE REF TYPE VALUE DR CR £ £ A Myers Ltd 20 Jun 10 8157 Invoice 428.40 28 Jun 10 C71 Credit (84.16) 344.24 Anton Purvis 14 May 10 8144 Invoice 3,882.29 21 Jun 10 8158 Invoice 1,248.75 5,131.04 Books Always 01 May 10 1285 Pay on Acc (1,450.00) 20 May 10 8148 Invoice 2,756.52 15 Jun 10 8156 Invoice 573.25 1,879.77 Beautiful Gifts 15 May 10 8145 Invoice 721.32 05 Jun 10 8154 Invoice 1,347.20 21 Jun 10 1287 Pay on Acc (1,500.00) 568.52 Beauty & 03 May 10 8143 Invoice 1,584.33 Knowledge Co 21 May 10 8149 Invoice 2,187.95 06 Jun 10 8155 Invoice 1,279.73 21 Jun 10 C70 Credit (241.30) 28 Jun 10 8161 Invoice 962.18 5,772.89 Collectors Ever 10 May 10 1286 Pay on Acc (2,500.00) 16 May 10 8146 Invoice 1,865.15 22 May 10 C68 Credit (375.16) 28 May 10 8152 Invoice 2,481.10 1,471.09 China Heaven 23 Jun 10 8160 Invoice 2,412.66 2,412.66 Gifts Galore Ltd 25 May 10 8151 Invoice 2,415.67 16 Jun 10 C69 Credit (572.19) 22 Jun 10 8159 Invoice 1,312.51 3,155.99 Knick-Knacks 22 May 10 8150 Invoice 2,187.34 03 Jun 10 8153 Invoice 1,553.19 3,740.53 The Thoughtful 02 May 10 8142 Invoice 1,483.75 Company 18 May 10 8147 Invoice 2,841.60 4,325.35 TOTALS 28,802.08 0.00

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Material for Task 4 starts here: SUPPLIER ADDRESS LIST AS AT 30 JUNE 2010 BK3 CC7 Beauty & Knowledge Co Cheshire County Council 54 Mile End Road 8 High Cross Lakenham Mile End Road Norfolk Chester NR2 2PX Cheshire CH1 6UH Contact: Mary Marks Contact: Customer services Tel: 01603 989265 Tel: 01244 224587 DW1 GH5 decorativeware.com The Glass House Commercial Road Southover Mill Stony Stratford Millers Lane Milton Keynes Aston Buckinghamshire Birmingham MK11 9TX BA6 8ED Contact: Eileen Jolley Contact: Iain Malcolm Tel: 01908 377971 Tel: 02765 834921 NE5 OU7 North East Stationers Ltd Ornaments UK 10 Meneage Street Piggy Lane St Johns St Martin Helston Falmouth Corwall Cornwall TR12 8FG TR14 8GH Contact: Umberto Maffei Contact: Jade Richardson Tel: 01326 987254 Tel: 01326 326976 PD1 PR8 The Pleasure Dome Presents4U Longton House Thannet House Cross Street 2 Bridge Street Tewkesbury Worcester Gloucs Worcs GL3 5GH WR39DD Contact: Tom Hutchinson Contact: Miriam Khan Tel: 02333 576234 Tel: 0204 872143 PS9 WV10 Polly's Shop Words & Verse 6 Wrighton Lane The Workshop Mevagissey Tannery Row St Austell Wells Cornwall Somerset PL25 7FS BA3 9TG Contact: Polly Dumas Contact: Anna Patel Tel: 01726 624551 Tel: 07771 876234

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Material for Task 5 starts here: PURCHASE LEDGER ACCOUNT TRANSACTIONS AS AT 30 JUNE 2010 B A L A N C E SUPPLIER DATE REF TYPE VALUE DR CR £ £ £ Beauty & 30 Jun 10 B492 Invoice 948.30 Knowledge Co 16 Jun 10 B510 Invoice 1,824.97 28 Jun 10 B525 Invoice 2,431.16 30 Jun 10 BC92 Credit (321.90) 4,882.53 Cheshire County 01 May 10 7831 Invoice 1,678.29 1,678.29 Council decorativeware.com 15 May 10 16240 Pay on Acc (3,000.00) 17 May 10 4123 Invoice 1,864.19 23 May 10 4145 Invoice 1,972.05 10 Jun 10 4189 Invoice 940.25 1,776.49 The Glass House 03 May 10 G241 Invoice 864.13 31 May 10 G283 Invoice 1,243.90 06 Jun 10 16241 Pay on Acc (1,550.00) 558.03 North East 15 Jun 10 N5801 Invoice 1,238.76 1,238.76 Stationers Ltd Ornaments UK 16 May 10 142 Invoice 2,140.16 18 Jun 10 238 Invoice 1,491.68 3,631.84 The Pleasure Dome 02 May 10 PD240 Invoice 404.35 26 Jun 10 PD382 Invoice 991.18 1,395.53 Presents4U 02 Jun 10 634 Invoice 228.90 16 Jun 10 658 Invoice 314.28 543.18 Polly’s Shop 10 May 10 1684 Invoice 1,258.17 20 May 10 Ret108 Credit (721.06) 13 Jun 10 1721 Invoice 2,418.85 2,955.96 Words & Verse 18 May 10 S721 Invoice 4,560.30 21 Jun 10 S947 Invoice 2,498.90 7,059.20 TOTAL 0.00 25,719.81

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Material for Task 6 starts here: NOMINAL LEDGER LISTING AND TRIAL BALANCE AND BUDGETS AS AT 30 JUNE 2010 N/C NAME DR CR BUDGET £ £ £

0030 Office Equipment 17,200.00 0031 Office Equipment Depreciation 3,440.00 0040 Furniture and Fixtures 6,824.50 0041 Furniture/Fixture Depreciation 1,706.25 0050 Motor Vehicles 36,548.00 0051 Motor Vehicles Depreciation 4,568.50 1100 Debtors Control Account 28,802.08 1103 Prepayments 1200 Bank Current Account 58,582.78 1220 Cash Account 1,500.00 2100 Creditors Control Account 25,719.81 2109 Accruals 2200 Sales Tax Control Account 7,959.51 2201 Purchase Tax Control Account 4,948.26 2300 Loans 3000 Capital 187,000.00 3200 Profit and Loss Account 4000 Sales - Ornaments 45,482.95 90,350.00 4001 Sales – Books 26,045.08 45,860.00 4009 Discounts Allowed 4400 Credit Charges (Late Payments) 4903 Insurance Claims 4904 Rent Income 2,550.00 5000 Purchases - Ornaments 28,275.77 50,500.00 5001 Purchases - Books 31,564.31 48,475.00 5009 Discounts Taken 6201 Advertising 2,873.90 5,350.00 7000 Gross Wages 48,290.32 80,000.00 7100 Rent & Rates 11,281.15 52,240.00 7200 Heat, Light & Power 3,692.65 9,460.00 7304 Vehicle Expenses 7,536.12 16,750.00 7501 Postage 1,521.39 3,250.00 7502 Tel, Fax & Internet 5,682.78 10,800.00 7504 Office Stationery 2,175.10 6,146.00 7800 Repairs and Renewals 464.19 1,257.00 7901 Bank Charges 52.25 120.00 7903 Loan Interest Paid 7906 Exchange Rate Variance 8000 Depreciation 8100 Bad Debt Write Off 8204 Insurance 2,678.19 2,800.00 8205 General Office Expenses 1,428.36 4,680.00 9998 Suspense Account 9999 Mispostings Account

TOTALS 301,922.10 301,922.10 430,588.00

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