3. With regard to trading stock, the following must be noted: The…

Question Answered step-by-step 3. With regard to trading stock, the following must be noted: The… Image transcription text1. Revenue figures for 2021 MONTHSACTUAL BUDGETED CASH CREDITCASH CREDIT JANUARY… Show more… Show more3. With regard to trading stock, the following must be noted: • The business maintains a mark-up percentage of 40% on revenue and a fixed base stock level (stock sold in a month is replaced in that month) • All purchases of stock are made on credit • Creditors are paid in the month after the purchase of the stock.  4. Interest on fixed deposit amounts to R4 800 per year. This is received in two equal instalments on 1 March 2021 and 1 September 2021.  5. Operating expenses amount to R18 000 per month and is paid by cheque.  6. Salaries is R24 000 per month. During March 2021, the four shop assistants will also receive their production bonuses of 80% of their monthly salary.  7. The total rent income for the previous financial year was R36 000. The rent is expected to increase by 15% on 1 March 2021.  8. The owner agreed that his drawings per month should exceed R2 000. This must comprise R1 500 cash and R500 worth of trading stock.  9. Renovations to the office and reception area were done during December 2020. New office equipment including computers were purchased on 1 January 2021 for R96 000. These are being paid off in 12 equal monthly instalments. Depreciation on equipment amounts to R7 800 (including the new equipment).  10. Bank charges average R500 per month.  11. R2 000 per month is allocated for maintenance of buildings.  12. The owner decided that, during March 2021, he will increase his capital contribution by R40 000 cash and by R17 000 worth of equipment.  13. The bank balance reflected an overdraft of R6 000 on 28 February 2021  Image transcription text14. The accountant supplied thefollowing actual amounts for February2021: Rent income 1 000 D… Show more… Show more  Business Management Project Management PROJECT MA PGDPM Share QuestionEmailCopy link Comments (0)