#Sales Offer!| Get upto 25% Off:

February 24, 2016

Prepare journal entries from the following transactions and extract a trial balance July: 1 Started business with sh. 5,000 in bank and sh. 1,000 cash. 2 Bought stationery by cheque sh. 75 3 Bought goods on credit from smart sh. 2,100 4 Sold goods for cash sh. 340 5 Paid insurance by cash sh. 290 7 Bought a computer on credit from Hott. Sh. 700 8 Paid expenses by cheque sh. 32 10 Sold goods on credit to Biggins sh. 630 11 Returned goods to Smart sh. 550 14 Paid wages by cash. Sh. 210 17 Paid rent by cheque sh. 225 20 Received a cheque sh. 400 from Biggins 21 Paid Hott by cheque 700 23 Bought stationary on credit from News Ltd 125 31 Sod goods on credit to F Tank sh. 645.

a) Explain the 3 major reasons for business valuations. Discuss two major approaches which are
frequently used. (5 Marks)
b) The directors of Upendo Plc were asked last year to improve their subdiary’s performance.
Summarized financial data at that time for the subsidiary is shown below.
Ksh 000
Turnover 840
Operating profit 95
Interest 6
Taxable profit 89
Fixed assets 580
Current assets 290
Current liabilities 210
Medium and long-term debt 40
Shareholders’ equity 620
Capital employed 660
The results for the current year have just been announced as:
Kshs. 000
Turnover 1,000
Operating profit 122
Interest 18
7
Taxable profit 104
Fixed assets 680
Current assets 350
Current liabilities 260
Medium and long-term debt 140
Shareholders’ equity 630
Capital employed 770
Required
Analyse the performance of the subsidiary, and from the perspective of the future strategic
development of Upendo Plc suggest what controls the directors of Upendo Plc might introduce
to influence the future development of the subsidiary. (15 Marks)

For a custom-written paper on the above topic, place your order now!

What We Offer
• On-time delivery guarantee
• PhD-level professionals
• Automatic plagiarism check
• 100% money-back guarantee
• 100% Privacy and Confidentiality
• High Quality custom-written papers

Accounting

Share this :

Found something interesting ?

We don't just promise. Here is what we guarantee!

• On-time delivery guarantee
• PhD-level professional writers
• Free Plagiarism Report

• 100% money-back guarantee
• Absolute Privacy & Confidentiality
• High Quality custom-written papers

Related Model Questions

Feel free to peruse our college and university model questions. If any our our assignment tasks interests you, click to place your order. Every paper is written by our professional essay writers from scratch to avoid plagiarism. We guarantee highest quality of work besides delivering your paper on time.

Persistent (Chronic) Motor Tic Disorder

January 6, 2020 5:24 pm

1. Which system is more reliable, a or b? c or d? Now calculate the reliability of each system. Were your perceptions correct? 2. Best Vision is revamping its assembly lines to improve efficiency. As shown below, there are 10 steps to assembling a television set. A. If Best needs to produce 120 televisions in a 40-hour work week, how should the line be balanced? Given that one worker is assigned to each workstation, how many workers are required to operate the line? What is the efficiency of the line? B. If demand for televisions is reduced to 100 sets per 40-hour week, how many workers will be needed to man the line? Re-balance the line and re-calculate its efficiency. 3. State University is going to construct a new student center and athletic complex that will include a bookstore, post office, theaters, market, mini-mall, meeting rooms, swimming pool, and weight and exercise rooms. The university administration has hired a site selection specialist to identify the best potential sites on campus for the new facility. The site specialist has identified four sites on campus and has rated the important location factors for each site as follows: Recommend a site based on these location factors and ratings. 4. An army division in Iraq has five troop encampments in the desert, and the division leaders want to determine the best location for a supply depot to serve the camps. The (x, y) coordinates (in miles) of the camps, A, B, C, D, and E, and the daily amount of supplies (in tons) required at each camp are as follows: Determine the best site for the supply depot using the center-of-gravity technique. 5. Referring to the product structure diagram for product A determine: B,C,D,E,F,G,H,I,J and K 6. Alice’s Alterations has eight jobs to be completed and only one sewing machine (and sewing machine operator). Given the processing times and due dates as shown here, prioritize the jobs by FCFS, SPT, EDD, and CR. and determine the average flow time, average tardiness, and average number of jobs at the work center, for each of these rules. Which sequencing rule would you recommend? Why? Assume jobs arrived in the order shown.

August 4, 2021 5:12 pm

What is the contribution margin ratio?

November 18, 2020 6:01 pm