THE UNITED REPUBLIC OF TANZANIA NATIONAL EXAMINATIONS COUNCIL OF TANZANIA

FORM TWO NATIONAL ASSESSMENT

BOOK KEEPING

Time: 2:30 Hours Year: 2024

Instructions

1. This paper consists of Sections A, B and C with a total of nine (9) questions.
2. Answer all questions in the spaces provided.
3. Section A carries fifteen (15) marks, Section B forty (40) marks and Section C carries forty five (45) marks.
4. All writing must be in blue or black ink.
5. Non programmable calculators may be used.
6. Communication devices and any unauthorized materials are not allowed in the examination room.
7. Write your Assessment Number at the top right hand corner of every page.

SECTION A (15 Marks)

Answer all questions in this section.

1. For each of the items (i) – (x), choose the correct answer from among the given alternatives and write its letter in the box provided.

(i) Which of the following best describes the term posting?

1. Making the entry in the journal.
2. Making the first entry of a double entry.
3. Making the second entry of a double entry.
4. Making the entry in the cash book.

(ii) Which action should be taken by the business firm when goods are returned to the supplier?

1. To issue a credit note
2. To issue a debit note
3. To issue a purchases invoice
4. To issue a receipt

(iii) Mwansasu started business on 1^st January 2021 with TZS 10,000,000 in cash. What is the double entry for recording this transaction?

1. Dr Cash account; Cr Capital account.
2. Dr Capital account; Cr Cash account.
3. Dr Mwansasu account; Cr Cash account.
4. Dr Cash account; Cr Mwansasu account.

(iv) Which one of the following errors can cause the disagreement of the trial balance?

1. Errors of complete reversal of entry
2. Compensation errors
3. Wrong posting
4. Errors of original entry

(v) Mr. Ngesa's sales for the year was TZS 9,000,000, returns inwards TZS 1,000,000 and carriage outwards 500,000. How much was the net sales for the year?

1. TZS 10,000,000
2. TZS 8,000,000
3. TZS 8,500,000
4. TZS 9,500,000

(vi) Mr. Baraka issued a sales invoice to Newman for TZS 800,000 offering 10% trade discount and 5% cash discount. How much would be paid by Newman?

1. TZS 760,000
2. TZS 800,000
3. TZS 680,000
4. TZS 684,000

(vii) Mrs. Yamisha, a sole proprietor paid TZS 20,000 for a bus fare on 30^th September 2021. Which column of the petty cashbook should be used to record this expenditure?

1. Postage expenses
2. Cleaning expenses
3. Stationery expenses
4. Travelling expenses

(viii) Mr. Kate, a sole proprietor maintains his office petty cash book on the imprest system. Asha, a petty cashier received a float of TZS 10,000,000. During the month, she paid bus fare TZS 350,000, postage TZS 250,000 and fuel TZS 100,000. How much would be reimbursed to Asha at the end of the month to maintain the float at its original amount?

1. TZS 1,000,000
2. TZS 700,000
3. TZS 300,000
4. TZS 1,700,000

(ix) The debit column of the Trial Balance of Kamugisha is greater than the credit column. Which combination of errors might have caused this difference in the trial balance totals?

1. Commission and omission
2. Omission and compensating
3. Incomplete entry and casting
4. Compensating and transposition

(x) The cash book showed a debit balance of TZS 1,200,000. Credit transfer of TZS 500,000 and standing order of TZS 300,000 are reflected on the bank statement. What would be the adjusted cash book balance?

1. TZS 2,000,000
2. TZS 400,000
3. TZS 1,000,000
4. TZS 1,400,000