MWANDEGE BOYS SECONDARY SCHOOL

FORM ONE – BOOKKEEPING ROUND ONE

EXAMINATION

Time 2: 30 hours
Instructions
1. This paper consists of section A, B and C with a total of nine (9) questions
2. Answer all questions
3. All answers must be written in the space provided

FOR EXAMINER’S USE ONLY

QUESTION NUMBER SCORE EXAMINER’S INITIALS

TOTAL

CHEKER’S INITIALS
 SECTION A (15 Marks)
Answer all questions in this section
1. For each of the following items (i)- (v), choose the correct answer from among the given alternatives and write its
letter besides the item number
i. Bookkeeping is a branch of accounting which deals with?
A. Analysis and interpretation of data
B. Recording, classifying, summarizing and interpreting of data
C. Recording of financial business transactions in the books account
D. Credit transaction of a business

ii. The system of exchanging goods for goods and service for service is known as?
A. Accounting C. Bookkeeping
B. Barter trade D. Business

iii. The money or money worth put into business by the owner is known as:
A. Assets C. Capital
B. Business D. Instrument

iv. Which of the following is NOT an objective of book-keeping?

A. Business entity concept C. Fair tax assessment
B. Tool of business control D. Determination of profit or losses

v. Business established and controlled by two to twenty persons aiming at making profit is called?
A. Sole proprietorship C. A Company
B. Partnership D. Business

Answers

I ii iii iv V

2. Match the items in List A with the responses in List B by writing the correct responses beside the item number in
the box below

LIST A LIST B
i. Place in a ledger used to record business transaction using double A. Assets
entry principle B. Liability
ii. Main book of account to record transaction under double entry C. Ledger
system
iii. Resources in the business equals to resources supplied in the D. Account
business
iv. Present economic resource controlled or owned by the entity as a E. Account Equation
result of past event.
v. Present obligation of the entity as a result of past events F. Equity

Answers

i Ii iii Iv v
 SECTION B (45 Marks)
Answer all question

3. Explain the following Book-keeping terminologies

a) Book-keeping
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b) Drawings
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c) Transaction
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d) Money worth
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e) Accounting
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4. Identify whether each of the following are businesses or not:

i. Purchase and sale of text books………………………………………………………………………..
ii. A purchase and sell of nuclear bombs…………………………………………………………………
iii. Distribution of pornography in Tanzania ……………………………………………………………..
iv. Dealings with Bangi and Milungi in Tanzania………………………………………………………...
v. Dealings with human trafficking in Tanzania…………………………………………………………

5. Differentiate between the following Book-keeping terms

a. Book-keeping and Business studies
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b. Trade receivables and trade payables

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c. Current assets and current liabilities

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 d. Cash transactions and credit transactions
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6. Use balances below to calculate capital figure as at 30 th June 2024 as extracted from the books of Bangala.
Buildings 20,000 shillings, machinery 30,000 shillings, bank overdraft 5,000 shillings, trade payable 9,000
shillings, inventories 45,000 shillings, loan from bank 10,000 shillings.
 SECTION C (45 Marks)
Answer all questions in this section

7. The following balances were extracted from books of KAFANABO for the year ending 31 December 2023.

Capital at 1 january 2023 76,525,000

3 Years loan from KARAGWE Bank 50,500,000
Sales 130,800,000
Furniture 9,500,000
Buildings 38,650,000
Profit for the year 11,067500
Land 15,625,000
Purchases 75,250,000
Drawings 6,600,000
Salaries 37,750,000
Bank overdraft 10,095,000
Wages 25,800,000
Accounts Payable 22,800,000
Motor vehicle 15,750,000
Fixture and fittings 55,250,000
Inventory on 31 December 2023 6,125,000
Account receivables 23,487,500
Rent 5,250,000
Required: from the above balances list
a) Current assets
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b) Non- current assets

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c) Current liabilities
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d) Long term liabilities

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8. Complete the gaps in the following table

S/NO ASSETS ‘SHILLINGS’ LIABILITIES ‘SHILLINGS’ CAPITAL ‘SHILLINGS’

1. 25,000 3,600 A
2. 56,000 9,800 B
3. 33,600 C 25,000
4. D 70,000 32,000
5. 102,800 E 38,400
Show all your workings
9. Explain the five (5) importance of studying Book-keeping
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