ECONOMIC AND MANGEMENT SCIENCES
GRADE 8 – 2021
TERM 2 – MID-YEAR CONTROLLED TEST
PAPER 1: FINANCIAL LITERACY
MARKS: 50 TIME: 60 MINUTES
QUESTION PAPER
INSTRUCTIONS AND INFORMATION
This question paper consists of Section A and B based on the prescribed content
framework in the CAPS amendment document and the RATP.
SECTION A: ACCOUNTING CONCEPTS
QUESTION 1 Multiple choice (12)
[12]
SECTION B: ALL TOPICS
QUESTION 2 Source documents (8)
QUESTION 3 Accounting Cycle (5)
QUESTION 4 Accounting Equation (6)
QUESTION 5 Cash Receipt Journal (19)
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1. All questions are compulsory.
2. Answer all questions in the ANSWER BOOK provided.
3. Write neatly and legibly.
pg. 1
SECTION A: ALL TOPICS
QUESTION 1
1.1 MULTIPLE-CHOICE QUESTIONS
Various options are provided as possible answers to the following questions.
Choose the answer and write only the letter (A – D) next to the question
number (1.1.1. – 1.1.6) in the ANSWER BOOK provided.
1.1.1 Money paid out for the daily running of the business is known as… (2)
A. Assets
B. Expenses
C. Income
D. Profit
1.1.2 Land and buildings, vehicles and equipment are examples of… (2)
A. Trading inventory
B. Fixed Assets
C. Current assets
D. Investments
1.1.3 Money that the owner invests in a business is known as… (2)
A. Capital
B. Income
C. Transactions
D. Profit
1.1.4 The left-hand side of a T-account in the General Ledger is known as (2)
the ……… -side.
A. Balance
B. Credit
C. debit
D. Analysis of receipts
1.1.5 Which of the following businesses will most likely operate as a sole (2)
trader?
A. Coetzee and Partners Legal Advisors
B. Helena’s Hair Salon.
C. President Hyper
D. Ocean Basket Restaurant
1.1.6 This section of the General Ledger consists of all the income and (2)
pg. 2
expense accounts.
A. Nominal Account Section
B. Balance Sheet Section
C. Trial Balance
D. Owner’s Equity Section
[12]
SECTION B – ALL TOPICS
QUESTION 2 – SOURCE DOCUMENTS
2.1 What does the acronym EFT stand for? (1)
2.2 RECEIPT A
Source Document
No. 12
Date: 18 March 2021
Received from: Patsy Steenkamp
For: Rent
The amount of: Four Thousand Five Hundred rands
nil cent
E. Olivier
Goulden Traders
2.2.1 Identify Source Document A. (1)
.
2.2.2 Why do you think is it necessary to issue Source document A to a (2)
client?
2.3 Name any TWO other source documents in a business. (4)
[8]
QUESTION 3 – ACCOUNTING CYCLE
3.1 Draw an Accounting Cycle (Step 1 – 5) to illustrate your understanding (5)
of the accounting process.
[5]
pg. 3
QUESTION 4 – ACCOUNTING EQUATION
4.1. Show the effect of the following transactions of Betty Beauty Salon on the
Accounting Equation for June 2021.
Transactions:
1. Betty Curls increases her capital contribution to the business by depositing
R10 000 in the business’s current bank account. Issue receipt 01.
10. Cash received for services rendered, R4 500.
21. The business receives R1 500 as donation for outstanding service delivery.
(6)
[6]
QUESTION 5 – CASH RECEIPT JOURNAL
Use the information given below to draw up the Cash Receipt Journal of Clever
Cleaners for August 2021.
Use analysis columns for Analysis of Receipts, bank, current income and sundry
accounts.
Transactions:
3 The owner, Billy Lyons, won R14 000. He decided to invest half of the
winnings in his cleaning business. The amount was deposited into the current
bank account of the business. Receipt 001 was issued.
8 Cash received for services rendered, R1 200.
15 Received a cheque from the Sunshine Preschool for the following services
rendered:
20 blankets dry-cleaned at R15 each.
5 towels washed and dried at R10 each
22 Received R5 500 from Thelma Botha for the rent of part of the building.
Cash received for services rendered, R2 400.
28 The business received a R500 donation from a local investor, Mr. P. Rice.
[19]
TOTAL SECTION B: 38
GRAND TOTAL: 50
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