2022 · november · Accounting · Grade 11

Practice paper 1 — Grade 11 Accounting (Easified, CAPS-aligned)

Notes

This paper lives in the app. Draw the situation when the question describes one. Show Given, Missing, Find, then the calculation. Use a division line for any division.

150 min · 116 Marks · 30 questions

Learn the paper in the app: notes, a marks breakdown, the formula you need, and the board working. You do not need to download it.

Sit it timed Formula sheet

Question breakdown

1 · 4 Marks · Partnerships
Accounting Grade 11. Draw the situation for Partnerships. Two partners make a net profit of R120000. Each has a salary of R20000, and they share the remainder equally. How much does each partner receive?
Formulas
Remaining profit=net profit−salaries−interest on capital
What is left is shared in the agreed ratio
Notes: Given: profit R120000, two salaries of R20000, equal share of the rest. Missing: each partner's total.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Draw the situation for Partnerships. Two partners make a net profit of R120000. Each has a salary of R20000, and they share the remainder equally. How much does each partner receive?
Before any working — hunt first
Given
Numbers and units already in the sentence: 11 · R120000 · R20000. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: How much does each partner receive. Circle that word — that is the missing variable.
Find
We are required to find: How much does each partner receive. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
Write Remaining profit = net profit − salaries − interest on capital with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives How much does each partner receive.
In other words — as if you have never seen this before
Partnerships. Partners' salaries are deducted before the remaining profit is shared. A partnership is not a sole trader buying equipment.
2. What do we already know?
Given: profit R120000, two salaries of R20000, equal share of the rest. Missing: each partner's total.
3. Which method — and why this one?
Partnerships. Partners' salaries are deducted before the remaining profit is shared. A partnership is not a sole trader buying equipment.
4. Step-by-step working
1. 01 / 07
  Given
  Given: profit R120000, two salaries of R20000, equal share of the rest. Missing: each partner's total.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  Missing
  What Partnerships has not given you yet.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Find
  Draw the situation for Partnerships. Two partners make a net profit of R120000. Each has a salary of R20000, and they share the remainder equally. How much does each partner receive?
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Calculate
  Profit R120000 − salaries R40000 = R80000 to share. Each partner gets a salary of R20000 plus R40000, so R60000 each.
  Remaining profit=net profit−salaries−interest on capital
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Profit R120000 − salaries R40000 = R80000 to share. Each partner gets a salary of R20000 plus R40000, so R60000 each.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Profit R120000 − salaries R40000 = R80000 to share. Each partner gets a salary of R20000 plus R40000, so R60000 each.
Copy onto your answer sheet — in this order
Formula: Remaining profit = net profit − salaries − interest on capital
Answer: Profit R120000 − salaries R40000 = R80000 to share. Each partner gets a salary of R20000 plus R40000, so R60000 each.
6. Check it like a marker
The two totals add back to the net profit.
7. A trap first-timers fall into
Do not share the whole profit equally and then add the salaries on top. The salaries are inside the profit.
2 · 4 Marks · GAAP principles
Accounting Grade 11. Use this case. A likely bad debt. A hardware store in Rustenburg is owed R4 000 by a builder who has closed his yard and stopped answering calls. Prudence requires a provision, or a write-off, now. Waiting for the court case before reducing profit would overstate this year's income. The loss is likely, so it is recognised. Hope is not an asset. In sentences, say what GAAP principles is doing here, from the situation to the result.
Notes: A workshop in Welkom, with the original invoice still in the file, is where historical cost is decided.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Use this case. A likely bad debt. A hardware store in Rustenburg is owed R4 000 by a builder who has closed his yard and stopped answering calls. Prudence requires a provision, or a write-off, now. Waiting for the court case before reducing profit would overstate this year's income. The loss is likely, so it is recognised. Hope is not an asset. In sentences, say what GAAP principles is doing here, from the situation to the result.
In other words — as if you have never seen this before
GAAP principles. Historical cost records an asset at what was paid, not at a guessed selling price. Prudence means you do not count a profit until it is reasonably certain, and you do count a likely loss. Matching puts an expense in the same period as the income it helped to earn. Going concern means you assume the business will keep operating, so you do not value everything as if it will be sold tomorrow. Materiality means a small item can be treated simply, and a large one must be shown clearly.
2. What do we already know?
A workshop in Welkom, with the original invoice still in the file, is where historical cost is decided.
3. Which method — and why this one?
GAAP principles. Historical cost records an asset at what was paid, not at a guessed selling price. Prudence means you do not count a profit until it is reasonably certain, and you do count a likely loss. Matching puts an expense in the same period as the income it helped to earn. Going concern means you assume the business will keep operating, so you do not value everything as if it will be sold tomorrow. Materiality means a small item can be treated simply, and a large one must be shown clearly.
4. Step-by-step working
1. 01 / 07
  What it is
  GAAP is the set of rules that keeps financial statements comparable and honest. The ones used most in Grade 11 are historical cost, prudence, matching, going concern and materiality.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  How it works
  Historical cost records an asset at what was paid, not at a guessed selling price. Prudence means you do not count a profit until it is reasonably certain, and you do count a likely loss. Matching puts an expense in the same period as the income it helped to earn. Going concern means you assume the business will keep operating, so you do not value everything as if it will be sold tomorrow. Materiality means a small item can be treated simply, and a large one must be shown clearly.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Worked theory
  Worked theory. A panel beater in Welkom bought a compressor for R18 000 three years ago. A friend says it would sell for R25 000 today, so the owner wants to raise the asset and the profit by R7 000. Historical cost leaves the compressor at R18 000 less depreciation. The R7 000 is not a profit yet, because nobody has paid it, so prudence also blocks the increase. The statements stay comparable with last year. A hoped-for price is not a transaction.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Say it back
  Record what was paid, do not invent profit, and match the expense to the income it earned.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Record what was paid, do not invent profit, and match the expense to the income it earned.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Record what was paid, do not invent profit, and match the expense to the income it earned.
Copy onto your answer sheet — in this order
Answer: Record what was paid, do not invent profit, and match the expense to the income it earned.
6. Check it like a marker
The answer names the situation, what changed, and the result. It does not stop at a heading.
7. A trap first-timers fall into
A common mix-up is to revalue an asset upwards because a friend named a higher price. That breaks historical cost and prudence.
3 · 4 Marks · Bank and creditors reconciliations
Accounting Grade 11. Draw the situation for Bank and creditors reconciliations. The bank statement shows R6000. An outstanding deposit is R2000 and an unpresented cheque is R1000. Calculate the reconciled balance.
Formulas
Statement+outstanding deposits−unpresented cheques
That is the balance both the books and the bank should reach
Notes: Given: statement R6000, deposit R2000, cheque R1000. Missing: the reconciled balance.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Draw the situation for Bank and creditors reconciliations. The bank statement shows R6000. An outstanding deposit is R2000 and an unpresented cheque is R1000. Calculate the reconciled balance.
Before any working — hunt first
Given
Numbers and units already in the sentence: 11 · R6000 · R2000 and · R1000. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: the reconciled balance. Circle that word — that is the missing variable.
Find
We are required to find: the reconciled balance. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
Write Statement + outstanding deposits − unpresented cheques with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives the reconciled balance.
In other words — as if you have never seen this before
Bank and creditors reconciliations. The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
2. What do we already know?
Given: statement R6000, deposit R2000, cheque R1000. Missing: the reconciled balance.
3. Which method — and why this one?
Bank and creditors reconciliations. The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
4. Step-by-step working
1. 01 / 07
  Given
  Given: statement R6000, deposit R2000, cheque R1000. Missing: the reconciled balance.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  Missing
  What Bank and creditors reconciliations has not given you yet.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Find
  Draw the situation for Bank and creditors reconciliations. The bank statement shows R6000. An outstanding deposit is R2000 and an unpresented cheque is R1000. Calculate the reconciled balance.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Calculate
  Reconciled balance = R6000 + R2000 − R1000 = R7000.
  Statement+outstanding deposits−unpresented cheques
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Reconciled balance = R6000 + R2000 − R1000 = R7000.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Reconciled balance = R6000 + R2000 − R1000 = R7000.
Copy onto your answer sheet — in this order
Formula: Statement + outstanding deposits − unpresented cheques
Answer: Reconciled balance = R6000 + R2000 − R1000 = R7000.
6. Check it like a marker
The deposit increases the balance. The cheque decreases it.
7. A trap first-timers fall into
Do not subtract the deposit. It is money the bank has not added yet.
4 · 4 Marks · Fixed assets and depreciation
Accounting Grade 11. Draw the situation for Fixed assets and depreciation. A vehicle costs R30000, has a residual value of R6000 and a useful life of 5 years. Calculate one year's straight-line depreciation.
Formulas
(Cost − residual value)useful life
Straight-line depreciation for one year
Notes: Given: cost R30000, residual R6000, life 5 years. Missing: annual depreciation.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Draw the situation for Fixed assets and depreciation. A vehicle costs R30000, has a residual value of R6000 and a useful life of 5 years. Calculate one year's straight-line depreciation.
Before any working — hunt first
Given
Numbers and units already in the sentence: 11 · R30000 · R6000 and · 5 years. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: one year's straight-line depreciation. Circle that word — that is the missing variable.
Find
We are required to find: one year's straight-line depreciation. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
Write (Cost − residual value) / useful life with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives one year's straight-line depreciation.
In other words — as if you have never seen this before
Fixed assets and depreciation. Straight-line depreciation spreads the cost less the residual value evenly over the useful life.
2. What do we already know?
Given: cost R30000, residual R6000, life 5 years. Missing: annual depreciation.
3. Which method — and why this one?
Fixed assets and depreciation. Straight-line depreciation spreads the cost less the residual value evenly over the useful life.
4. Step-by-step working
1. 01 / 07
  Given
  Given: cost R30000, residual R6000, life 5 years. Missing: annual depreciation.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  Missing
  What Fixed assets and depreciation has not given you yet.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Find
  Draw the situation for Fixed assets and depreciation. A vehicle costs R30000, has a residual value of R6000 and a useful life of 5 years. Calculate one year's straight-line depreciation.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Calculate
  Depreciation per year=(R30000 − R6000)5=R4800.
  (Cost − residual value)useful life
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Depreciation per year=(R30000 − R6000)5=R4800.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Depreciation per year=(R30000 − R6000)5=R4800.
Copy onto your answer sheet — in this order
Formula: (Cost − residual value) / useful life
Answer: Depreciation per year = (R30000 − R6000) ÷ 5 = R4800.
6. Check it like a marker
Five years of this depreciation, plus the residual value, add back to the cost.
7. A trap first-timers fall into
Do not divide the full cost by the years if a residual value was given.
5 · 4 Marks · Financial statements
Accounting Grade 11. Draw the situation for Financial statements. Equipment is R50000, the bank is R16000 and a loan is R10000. Calculate total assets and equity.
Formulas
A=OE+L
The statement of financial position must balance
Notes: Given: equipment R50000, bank R16000, loan R10000. Missing: total assets and equity.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Draw the situation for Financial statements. Equipment is R50000, the bank is R16000 and a loan is R10000. Calculate total assets and equity.
Before any working — hunt first
Given
Numbers and units already in the sentence: 11 · R50000 · R16000 and · R10000. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: total assets and equity. Circle that word — that is the missing variable.
Find
We are required to find: total assets and equity. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
Write A = OE + L with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives total assets and equity.
In other words — as if you have never seen this before
Financial statements. On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
2. What do we already know?
Given: equipment R50000, bank R16000, loan R10000. Missing: total assets and equity.
3. Which method — and why this one?
Financial statements. On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
4. Step-by-step working
1. 01 / 07
  Given
  Given: equipment R50000, bank R16000, loan R10000. Missing: total assets and equity.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  Missing
  What Financial statements has not given you yet.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Find
  Draw the situation for Financial statements. Equipment is R50000, the bank is R16000 and a loan is R10000. Calculate total assets and equity.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Calculate
  Assets R50000 + R16000 = R66000. Equity R56000 + loan R10000 = R66000.
  A=OE+L
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Assets R50000 + R16000 = R66000. Equity R56000 + loan R10000 = R66000.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Assets R50000 + R16000 = R66000. Equity R56000 + loan R10000 = R66000.
Copy onto your answer sheet — in this order
Formula: A=OE+L
Answer: Assets R50000 + R16000 = R66000. Equity R56000 + loan R10000 = R66000.
6. Check it like a marker
Equity plus the loan equals the assets.
7. A trap first-timers fall into
Do not add the loan to the assets. A loan is a liability.
6 · 8 Marks · Partnerships
Accounting Grade 11. Draw the situation for Partnerships. Two partners make a net profit of R100000. Each has a salary of R20000, and they share the remainder equally. How much does each partner receive?
Formulas
Remaining profit=net profit−salaries−interest on capital
What is left is shared in the agreed ratio
Notes: Given: profit R100000, two salaries of R20000, equal share of the rest. Missing: each partner's total.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Draw the situation for Partnerships. Two partners make a net profit of R100000. Each has a salary of R20000, and they share the remainder equally. How much does each partner receive?
Before any working — hunt first
Given
Numbers and units already in the sentence: 11 · R100000 · R20000. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: How much does each partner receive. Circle that word — that is the missing variable.
Find
We are required to find: How much does each partner receive. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
Write Remaining profit = net profit − salaries − interest on capital with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives How much does each partner receive.
In other words — as if you have never seen this before
Partnerships. Partners' salaries are deducted before the remaining profit is shared. A partnership is not a sole trader buying equipment.
2. What do we already know?
Given: profit R100000, two salaries of R20000, equal share of the rest. Missing: each partner's total.
3. Which method — and why this one?
Partnerships. Partners' salaries are deducted before the remaining profit is shared. A partnership is not a sole trader buying equipment.
4. Step-by-step working
1. 01 / 07
  Given
  Given: profit R100000, two salaries of R20000, equal share of the rest. Missing: each partner's total.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  Missing
  What Partnerships has not given you yet.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Find
  Draw the situation for Partnerships. Two partners make a net profit of R100000. Each has a salary of R20000, and they share the remainder equally. How much does each partner receive?
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Calculate
  Profit R100000 − salaries R40000 = R60000 to share. Each partner gets a salary of R20000 plus R30000, so R50000 each.
  Remaining profit=net profit−salaries−interest on capital
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Profit R100000 − salaries R40000 = R60000 to share. Each partner gets a salary of R20000 plus R30000, so R50000 each.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Profit R100000 − salaries R40000 = R60000 to share. Each partner gets a salary of R20000 plus R30000, so R50000 each.
Copy onto your answer sheet — in this order
Formula: Remaining profit = net profit − salaries − interest on capital
Answer: Profit R100000 − salaries R40000 = R60000 to share. Each partner gets a salary of R20000 plus R30000, so R50000 each.
6. Check it like a marker
The two totals add back to the net profit.
7. A trap first-timers fall into
Do not share the whole profit equally and then add the salaries on top. The salaries are inside the profit.
7 · 4 Marks · GAAP principles
Accounting Grade 11. Use this case. Advertising paid in advance. A nursery in George pays R6 000 in December for adverts that will run in January and February. Matching does not call the whole R6 000 a December expense. December did not earn the sales those adverts will bring. R6 000 sits as a prepaid expense, an asset, until those months. The cash left in December. The expense follows the income. In sentences, say what GAAP principles is doing here, from the situation to the result.
Notes: A workshop in Welkom, with the original invoice still in the file, is where historical cost is decided.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Use this case. Advertising paid in advance. A nursery in George pays R6 000 in December for adverts that will run in January and February. Matching does not call the whole R6 000 a December expense. December did not earn the sales those adverts will bring. R6 000 sits as a prepaid expense, an asset, until those months. The cash left in December. The expense follows the income. In sentences, say what GAAP principles is doing here, from the situation to the result.
In other words — as if you have never seen this before
GAAP principles. Historical cost records an asset at what was paid, not at a guessed selling price. Prudence means you do not count a profit until it is reasonably certain, and you do count a likely loss. Matching puts an expense in the same period as the income it helped to earn. Going concern means you assume the business will keep operating, so you do not value everything as if it will be sold tomorrow. Materiality means a small item can be treated simply, and a large one must be shown clearly.
2. What do we already know?
A workshop in Welkom, with the original invoice still in the file, is where historical cost is decided.
3. Which method — and why this one?
GAAP principles. Historical cost records an asset at what was paid, not at a guessed selling price. Prudence means you do not count a profit until it is reasonably certain, and you do count a likely loss. Matching puts an expense in the same period as the income it helped to earn. Going concern means you assume the business will keep operating, so you do not value everything as if it will be sold tomorrow. Materiality means a small item can be treated simply, and a large one must be shown clearly.
4. Step-by-step working
1. 01 / 07
  What it is
  GAAP is the set of rules that keeps financial statements comparable and honest. The ones used most in Grade 11 are historical cost, prudence, matching, going concern and materiality.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  How it works
  Historical cost records an asset at what was paid, not at a guessed selling price. Prudence means you do not count a profit until it is reasonably certain, and you do count a likely loss. Matching puts an expense in the same period as the income it helped to earn. Going concern means you assume the business will keep operating, so you do not value everything as if it will be sold tomorrow. Materiality means a small item can be treated simply, and a large one must be shown clearly.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Worked theory
  Worked theory. A panel beater in Welkom bought a compressor for R18 000 three years ago. A friend says it would sell for R25 000 today, so the owner wants to raise the asset and the profit by R7 000. Historical cost leaves the compressor at R18 000 less depreciation. The R7 000 is not a profit yet, because nobody has paid it, so prudence also blocks the increase. The statements stay comparable with last year. A hoped-for price is not a transaction.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Say it back
  Record what was paid, do not invent profit, and match the expense to the income it earned.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Record what was paid, do not invent profit, and match the expense to the income it earned.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Record what was paid, do not invent profit, and match the expense to the income it earned.
Copy onto your answer sheet — in this order
Answer: Record what was paid, do not invent profit, and match the expense to the income it earned.
6. Check it like a marker
The answer names the situation, what changed, and the result. It does not stop at a heading.
7. A trap first-timers fall into
A common mix-up is to revalue an asset upwards because a friend named a higher price. That breaks historical cost and prudence.
8 · 4 Marks · Bank and creditors reconciliations
Accounting Grade 11. Draw the situation for Bank and creditors reconciliations. The bank statement shows R7000. An outstanding deposit is R1500 and an unpresented cheque is R800. Calculate the reconciled balance.
Formulas
Statement+outstanding deposits−unpresented cheques
That is the balance both the books and the bank should reach
Notes: Given: statement R7000, deposit R1500, cheque R800. Missing: the reconciled balance.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Draw the situation for Bank and creditors reconciliations. The bank statement shows R7000. An outstanding deposit is R1500 and an unpresented cheque is R800. Calculate the reconciled balance.
Before any working — hunt first
Given
Numbers and units already in the sentence: 11 · R7000 · R1500 and · R800. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: the reconciled balance. Circle that word — that is the missing variable.
Find
We are required to find: the reconciled balance. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
Write Statement + outstanding deposits − unpresented cheques with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives the reconciled balance.
In other words — as if you have never seen this before
Bank and creditors reconciliations. The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
2. What do we already know?
Given: statement R7000, deposit R1500, cheque R800. Missing: the reconciled balance.
3. Which method — and why this one?
Bank and creditors reconciliations. The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
4. Step-by-step working
1. 01 / 07
  Given
  Given: statement R7000, deposit R1500, cheque R800. Missing: the reconciled balance.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  Missing
  What Bank and creditors reconciliations has not given you yet.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Find
  Draw the situation for Bank and creditors reconciliations. The bank statement shows R7000. An outstanding deposit is R1500 and an unpresented cheque is R800. Calculate the reconciled balance.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Calculate
  Reconciled balance = R7000 + R1500 − R800 = R7700.
  Statement+outstanding deposits−unpresented cheques
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Reconciled balance = R7000 + R1500 − R800 = R7700.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Reconciled balance = R7000 + R1500 − R800 = R7700.
Copy onto your answer sheet — in this order
Formula: Statement + outstanding deposits − unpresented cheques
Answer: Reconciled balance = R7000 + R1500 − R800 = R7700.
6. Check it like a marker
The deposit increases the balance. The cheque decreases it.
7. A trap first-timers fall into
Do not subtract the deposit. It is money the bank has not added yet.
9 · 4 Marks · Fixed assets and depreciation
Accounting Grade 11. Draw the situation for Fixed assets and depreciation. A vehicle costs R35000, has a residual value of R7000 and a useful life of 5 years. Calculate one year's straight-line depreciation.
Formulas
(Cost − residual value)useful life
Straight-line depreciation for one year
Notes: Given: cost R35000, residual R7000, life 5 years. Missing: annual depreciation.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Draw the situation for Fixed assets and depreciation. A vehicle costs R35000, has a residual value of R7000 and a useful life of 5 years. Calculate one year's straight-line depreciation.
Before any working — hunt first
Given
Numbers and units already in the sentence: 11 · R35000 · R7000 and · 5 years. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: one year's straight-line depreciation. Circle that word — that is the missing variable.
Find
We are required to find: one year's straight-line depreciation. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
Write (Cost − residual value) / useful life with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives one year's straight-line depreciation.
In other words — as if you have never seen this before
Fixed assets and depreciation. Straight-line depreciation spreads the cost less the residual value evenly over the useful life.
2. What do we already know?
Given: cost R35000, residual R7000, life 5 years. Missing: annual depreciation.
3. Which method — and why this one?
Fixed assets and depreciation. Straight-line depreciation spreads the cost less the residual value evenly over the useful life.
4. Step-by-step working
1. 01 / 07
  Given
  Given: cost R35000, residual R7000, life 5 years. Missing: annual depreciation.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  Missing
  What Fixed assets and depreciation has not given you yet.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Find
  Draw the situation for Fixed assets and depreciation. A vehicle costs R35000, has a residual value of R7000 and a useful life of 5 years. Calculate one year's straight-line depreciation.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Calculate
  Depreciation per year=(R35000 − R7000)5=R5600.
  (Cost − residual value)useful life
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Depreciation per year=(R35000 − R7000)5=R5600.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Depreciation per year=(R35000 − R7000)5=R5600.
Copy onto your answer sheet — in this order
Formula: (Cost − residual value) / useful life
Answer: Depreciation per year = (R35000 − R7000) ÷ 5 = R5600.
6. Check it like a marker
Five years of this depreciation, plus the residual value, add back to the cost.
7. A trap first-timers fall into
Do not divide the full cost by the years if a residual value was given.
10 · 4 Marks · Financial statements
Accounting Grade 11. Draw the situation for Financial statements. Equipment is R70000, the bank is R18000 and a loan is R10000. Calculate total assets and equity.
Formulas
A=OE+L
The statement of financial position must balance
Notes: Given: equipment R70000, bank R18000, loan R10000. Missing: total assets and equity.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Draw the situation for Financial statements. Equipment is R70000, the bank is R18000 and a loan is R10000. Calculate total assets and equity.
Before any working — hunt first
Given
Numbers and units already in the sentence: 11 · R70000 · R18000 and · R10000. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: total assets and equity. Circle that word — that is the missing variable.
Find
We are required to find: total assets and equity. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
Write A = OE + L with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives total assets and equity.
In other words — as if you have never seen this before
Financial statements. On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
2. What do we already know?
Given: equipment R70000, bank R18000, loan R10000. Missing: total assets and equity.
3. Which method — and why this one?
Financial statements. On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
4. Step-by-step working
1. 01 / 07
  Given
  Given: equipment R70000, bank R18000, loan R10000. Missing: total assets and equity.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  Missing
  What Financial statements has not given you yet.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Find
  Draw the situation for Financial statements. Equipment is R70000, the bank is R18000 and a loan is R10000. Calculate total assets and equity.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Calculate
  Assets R70000 + R18000 = R88000. Equity R78000 + loan R10000 = R88000.
  A=OE+L
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Assets R70000 + R18000 = R88000. Equity R78000 + loan R10000 = R88000.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Assets R70000 + R18000 = R88000. Equity R78000 + loan R10000 = R88000.
Copy onto your answer sheet — in this order
Formula: A=OE+L
Answer: Assets R70000 + R18000 = R88000. Equity R78000 + loan R10000 = R88000.
6. Check it like a marker
Equity plus the loan equals the assets.
7. A trap first-timers fall into
Do not add the loan to the assets. A loan is a liability.
11 · 4 Marks · Partnerships
Accounting Grade 11. Draw the situation for Partnerships. Two partners make a net profit of R80000. Each has a salary of R20000, and they share the remainder equally. How much does each partner receive?
Formulas
Remaining profit=net profit−salaries−interest on capital
What is left is shared in the agreed ratio
Notes: Given: profit R80000, two salaries of R20000, equal share of the rest. Missing: each partner's total.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Draw the situation for Partnerships. Two partners make a net profit of R80000. Each has a salary of R20000, and they share the remainder equally. How much does each partner receive?
Before any working — hunt first
Given
Numbers and units already in the sentence: 11 · R80000 · R20000. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: How much does each partner receive. Circle that word — that is the missing variable.
Find
We are required to find: How much does each partner receive. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
Write Remaining profit = net profit − salaries − interest on capital with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives How much does each partner receive.
In other words — as if you have never seen this before
Partnerships. Partners' salaries are deducted before the remaining profit is shared. A partnership is not a sole trader buying equipment.
2. What do we already know?
Given: profit R80000, two salaries of R20000, equal share of the rest. Missing: each partner's total.
3. Which method — and why this one?
Partnerships. Partners' salaries are deducted before the remaining profit is shared. A partnership is not a sole trader buying equipment.
4. Step-by-step working
1. 01 / 07
  Given
  Given: profit R80000, two salaries of R20000, equal share of the rest. Missing: each partner's total.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  Missing
  What Partnerships has not given you yet.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Find
  Draw the situation for Partnerships. Two partners make a net profit of R80000. Each has a salary of R20000, and they share the remainder equally. How much does each partner receive?
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Calculate
  Profit R80000 − salaries R40000 = R40000 to share. Each partner gets a salary of R20000 plus R20000, so R40000 each.
  Remaining profit=net profit−salaries−interest on capital
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Profit R80000 − salaries R40000 = R40000 to share. Each partner gets a salary of R20000 plus R20000, so R40000 each.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Profit R80000 − salaries R40000 = R40000 to share. Each partner gets a salary of R20000 plus R20000, so R40000 each.
Copy onto your answer sheet — in this order
Formula: Remaining profit = net profit − salaries − interest on capital
Answer: Profit R80000 − salaries R40000 = R40000 to share. Each partner gets a salary of R20000 plus R20000, so R40000 each.
6. Check it like a marker
The two totals add back to the net profit.
7. A trap first-timers fall into
Do not share the whole profit equally and then add the salaries on top. The salaries are inside the profit.
12 · 4 Marks · Bank and creditors reconciliations
Accounting Grade 11. Draw the situation for Bank and creditors reconciliations. The bank statement shows R8000. An outstanding deposit is R2500 and an unpresented cheque is R1200. Calculate the reconciled balance.
Formulas
Statement+outstanding deposits−unpresented cheques
That is the balance both the books and the bank should reach
Notes: Given: statement R8000, deposit R2500, cheque R1200. Missing: the reconciled balance.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Draw the situation for Bank and creditors reconciliations. The bank statement shows R8000. An outstanding deposit is R2500 and an unpresented cheque is R1200. Calculate the reconciled balance.
Before any working — hunt first
Given
Numbers and units already in the sentence: 11 · R8000 · R2500 and · R1200. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: the reconciled balance. Circle that word — that is the missing variable.
Find
We are required to find: the reconciled balance. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
Write Statement + outstanding deposits − unpresented cheques with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives the reconciled balance.
In other words — as if you have never seen this before
Bank and creditors reconciliations. The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
2. What do we already know?
Given: statement R8000, deposit R2500, cheque R1200. Missing: the reconciled balance.
3. Which method — and why this one?
Bank and creditors reconciliations. The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
4. Step-by-step working
1. 01 / 07
  Given
  Given: statement R8000, deposit R2500, cheque R1200. Missing: the reconciled balance.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  Missing
  What Bank and creditors reconciliations has not given you yet.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Find
  Draw the situation for Bank and creditors reconciliations. The bank statement shows R8000. An outstanding deposit is R2500 and an unpresented cheque is R1200. Calculate the reconciled balance.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Calculate
  Reconciled balance = R8000 + R2500 − R1200 = R9300.
  Statement+outstanding deposits−unpresented cheques
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Reconciled balance = R8000 + R2500 − R1200 = R9300.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Reconciled balance = R8000 + R2500 − R1200 = R9300.
Copy onto your answer sheet — in this order
Formula: Statement + outstanding deposits − unpresented cheques
Answer: Reconciled balance = R8000 + R2500 − R1200 = R9300.
6. Check it like a marker
The deposit increases the balance. The cheque decreases it.
7. A trap first-timers fall into
Do not subtract the deposit. It is money the bank has not added yet.
13 · 4 Marks · Fixed assets and depreciation
Accounting Grade 11. Draw the situation for Fixed assets and depreciation. A vehicle costs R40000, has a residual value of R8000 and a useful life of 5 years. Calculate one year's straight-line depreciation.
Formulas
(Cost − residual value)useful life
Straight-line depreciation for one year
Notes: Given: cost R40000, residual R8000, life 5 years. Missing: annual depreciation.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Draw the situation for Fixed assets and depreciation. A vehicle costs R40000, has a residual value of R8000 and a useful life of 5 years. Calculate one year's straight-line depreciation.
Before any working — hunt first
Given
Numbers and units already in the sentence: 11 · R40000 · R8000 and · 5 years. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: one year's straight-line depreciation. Circle that word — that is the missing variable.
Find
We are required to find: one year's straight-line depreciation. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
Write (Cost − residual value) / useful life with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives one year's straight-line depreciation.
In other words — as if you have never seen this before
Fixed assets and depreciation. Straight-line depreciation spreads the cost less the residual value evenly over the useful life.
2. What do we already know?
Given: cost R40000, residual R8000, life 5 years. Missing: annual depreciation.
3. Which method — and why this one?
Fixed assets and depreciation. Straight-line depreciation spreads the cost less the residual value evenly over the useful life.
4. Step-by-step working
1. 01 / 07
  Given
  Given: cost R40000, residual R8000, life 5 years. Missing: annual depreciation.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  Missing
  What Fixed assets and depreciation has not given you yet.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Find
  Draw the situation for Fixed assets and depreciation. A vehicle costs R40000, has a residual value of R8000 and a useful life of 5 years. Calculate one year's straight-line depreciation.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Calculate
  Depreciation per year=(R40000 − R8000)5=R6400.
  (Cost − residual value)useful life
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Depreciation per year=(R40000 − R8000)5=R6400.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Depreciation per year=(R40000 − R8000)5=R6400.
Copy onto your answer sheet — in this order
Formula: (Cost − residual value) / useful life
Answer: Depreciation per year = (R40000 − R8000) ÷ 5 = R6400.
6. Check it like a marker
Five years of this depreciation, plus the residual value, add back to the cost.
7. A trap first-timers fall into
Do not divide the full cost by the years if a residual value was given.
14 · 4 Marks · Financial statements
Accounting Grade 11. Draw the situation for Financial statements. Equipment is R60000, the bank is R12000 and a loan is R10000. Calculate total assets and equity.
Formulas
A=OE+L
The statement of financial position must balance
Notes: Given: equipment R60000, bank R12000, loan R10000. Missing: total assets and equity.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Draw the situation for Financial statements. Equipment is R60000, the bank is R12000 and a loan is R10000. Calculate total assets and equity.
Before any working — hunt first
Given
Numbers and units already in the sentence: 11 · R60000 · R12000 and · R10000. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: total assets and equity. Circle that word — that is the missing variable.
Find
We are required to find: total assets and equity. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
Write A = OE + L with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives total assets and equity.
In other words — as if you have never seen this before
Financial statements. On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
2. What do we already know?
Given: equipment R60000, bank R12000, loan R10000. Missing: total assets and equity.
3. Which method — and why this one?
Financial statements. On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
4. Step-by-step working
1. 01 / 07
  Given
  Given: equipment R60000, bank R12000, loan R10000. Missing: total assets and equity.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  Missing
  What Financial statements has not given you yet.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Find
  Draw the situation for Financial statements. Equipment is R60000, the bank is R12000 and a loan is R10000. Calculate total assets and equity.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Calculate
  Assets R60000 + R12000 = R72000. Equity R62000 + loan R10000 = R72000.
  A=OE+L
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Assets R60000 + R12000 = R72000. Equity R62000 + loan R10000 = R72000.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Assets R60000 + R12000 = R72000. Equity R62000 + loan R10000 = R72000.
Copy onto your answer sheet — in this order
Formula: A=OE+L
Answer: Assets R60000 + R12000 = R72000. Equity R62000 + loan R10000 = R72000.
6. Check it like a marker
Equity plus the loan equals the assets.
7. A trap first-timers fall into
Do not add the loan to the assets. A loan is a liability.
15 · 8 Marks · Bank and creditors reconciliations
Accounting Grade 11. Draw the situation for Bank and creditors reconciliations. The bank statement shows R9000. An outstanding deposit is R2000 and an unpresented cheque is R1000. Calculate the reconciled balance.
Formulas
Statement+outstanding deposits−unpresented cheques
That is the balance both the books and the bank should reach
Notes: Given: statement R9000, deposit R2000, cheque R1000. Missing: the reconciled balance.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Draw the situation for Bank and creditors reconciliations. The bank statement shows R9000. An outstanding deposit is R2000 and an unpresented cheque is R1000. Calculate the reconciled balance.
Before any working — hunt first
Given
Numbers and units already in the sentence: 11 · R9000 · R2000 and · R1000. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: the reconciled balance. Circle that word — that is the missing variable.
Find
We are required to find: the reconciled balance. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
Write Statement + outstanding deposits − unpresented cheques with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives the reconciled balance.
In other words — as if you have never seen this before
Bank and creditors reconciliations. The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
2. What do we already know?
Given: statement R9000, deposit R2000, cheque R1000. Missing: the reconciled balance.
3. Which method — and why this one?
Bank and creditors reconciliations. The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
4. Step-by-step working
1. 01 / 07
  Given
  Given: statement R9000, deposit R2000, cheque R1000. Missing: the reconciled balance.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  Missing
  What Bank and creditors reconciliations has not given you yet.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Find
  Draw the situation for Bank and creditors reconciliations. The bank statement shows R9000. An outstanding deposit is R2000 and an unpresented cheque is R1000. Calculate the reconciled balance.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Calculate
  Reconciled balance = R9000 + R2000 − R1000 = R10000.
  Statement+outstanding deposits−unpresented cheques
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Reconciled balance = R9000 + R2000 − R1000 = R10000.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Reconciled balance = R9000 + R2000 − R1000 = R10000.
Copy onto your answer sheet — in this order
Formula: Statement + outstanding deposits − unpresented cheques
Answer: Reconciled balance = R9000 + R2000 − R1000 = R10000.
6. Check it like a marker
The deposit increases the balance. The cheque decreases it.
7. A trap first-timers fall into
Do not subtract the deposit. It is money the bank has not added yet.
16 · 4 Marks · Fixed assets and depreciation
Accounting Grade 11. Draw the situation for Fixed assets and depreciation. A vehicle costs R25000, has a residual value of R5000 and a useful life of 5 years. Calculate one year's straight-line depreciation.
Formulas
(Cost − residual value)useful life
Straight-line depreciation for one year
Notes: Given: cost R25000, residual R5000, life 5 years. Missing: annual depreciation.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Draw the situation for Fixed assets and depreciation. A vehicle costs R25000, has a residual value of R5000 and a useful life of 5 years. Calculate one year's straight-line depreciation.
Before any working — hunt first
Given
Numbers and units already in the sentence: 11 · R25000 · R5000 and · 5 years. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: one year's straight-line depreciation. Circle that word — that is the missing variable.
Find
We are required to find: one year's straight-line depreciation. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
Write (Cost − residual value) / useful life with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives one year's straight-line depreciation.
In other words — as if you have never seen this before
Fixed assets and depreciation. Straight-line depreciation spreads the cost less the residual value evenly over the useful life.
2. What do we already know?
Given: cost R25000, residual R5000, life 5 years. Missing: annual depreciation.
3. Which method — and why this one?
Fixed assets and depreciation. Straight-line depreciation spreads the cost less the residual value evenly over the useful life.
4. Step-by-step working
1. 01 / 07
  Given
  Given: cost R25000, residual R5000, life 5 years. Missing: annual depreciation.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  Missing
  What Fixed assets and depreciation has not given you yet.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Find
  Draw the situation for Fixed assets and depreciation. A vehicle costs R25000, has a residual value of R5000 and a useful life of 5 years. Calculate one year's straight-line depreciation.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Calculate
  Depreciation per year=(R25000 − R5000)5=R4000.
  (Cost − residual value)useful life
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Depreciation per year=(R25000 − R5000)5=R4000.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Depreciation per year=(R25000 − R5000)5=R4000.
Copy onto your answer sheet — in this order
Formula: (Cost − residual value) / useful life
Answer: Depreciation per year = (R25000 − R5000) ÷ 5 = R4000.
6. Check it like a marker
Five years of this depreciation, plus the residual value, add back to the cost.
7. A trap first-timers fall into
Do not divide the full cost by the years if a residual value was given.
17 · 4 Marks · Financial statements
Accounting Grade 11. Draw the situation for Financial statements. Equipment is R50000, the bank is R14000 and a loan is R10000. Calculate total assets and equity.
Formulas
A=OE+L
The statement of financial position must balance
Notes: Given: equipment R50000, bank R14000, loan R10000. Missing: total assets and equity.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Draw the situation for Financial statements. Equipment is R50000, the bank is R14000 and a loan is R10000. Calculate total assets and equity.
Before any working — hunt first
Given
Numbers and units already in the sentence: 11 · R50000 · R14000 and · R10000. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: total assets and equity. Circle that word — that is the missing variable.
Find
We are required to find: total assets and equity. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
Write A = OE + L with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives total assets and equity.
In other words — as if you have never seen this before
Financial statements. On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
2. What do we already know?
Given: equipment R50000, bank R14000, loan R10000. Missing: total assets and equity.
3. Which method — and why this one?
Financial statements. On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
4. Step-by-step working
1. 01 / 07
  Given
  Given: equipment R50000, bank R14000, loan R10000. Missing: total assets and equity.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  Missing
  What Financial statements has not given you yet.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Find
  Draw the situation for Financial statements. Equipment is R50000, the bank is R14000 and a loan is R10000. Calculate total assets and equity.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Calculate
  Assets R50000 + R14000 = R64000. Equity R54000 + loan R10000 = R64000.
  A=OE+L
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Assets R50000 + R14000 = R64000. Equity R54000 + loan R10000 = R64000.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Assets R50000 + R14000 = R64000. Equity R54000 + loan R10000 = R64000.
Copy onto your answer sheet — in this order
Formula: A=OE+L
Answer: Assets R50000 + R14000 = R64000. Equity R54000 + loan R10000 = R64000.
6. Check it like a marker
Equity plus the loan equals the assets.
7. A trap first-timers fall into
Do not add the loan to the assets. A loan is a liability.
18 · 4 Marks · Bank and creditors reconciliations
Accounting Grade 11. Draw the situation for Bank and creditors reconciliations. The bank statement shows R6000. An outstanding deposit is R1500 and an unpresented cheque is R800. Calculate the reconciled balance.
Formulas
Statement+outstanding deposits−unpresented cheques
That is the balance both the books and the bank should reach
Notes: Given: statement R6000, deposit R1500, cheque R800. Missing: the reconciled balance.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Draw the situation for Bank and creditors reconciliations. The bank statement shows R6000. An outstanding deposit is R1500 and an unpresented cheque is R800. Calculate the reconciled balance.
Before any working — hunt first
Given
Numbers and units already in the sentence: 11 · R6000 · R1500 and · R800. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: the reconciled balance. Circle that word — that is the missing variable.
Find
We are required to find: the reconciled balance. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
Write Statement + outstanding deposits − unpresented cheques with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives the reconciled balance.
In other words — as if you have never seen this before
Bank and creditors reconciliations. The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
2. What do we already know?
Given: statement R6000, deposit R1500, cheque R800. Missing: the reconciled balance.
3. Which method — and why this one?
Bank and creditors reconciliations. The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
4. Step-by-step working
1. 01 / 07
  Given
  Given: statement R6000, deposit R1500, cheque R800. Missing: the reconciled balance.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  Missing
  What Bank and creditors reconciliations has not given you yet.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Find
  Draw the situation for Bank and creditors reconciliations. The bank statement shows R6000. An outstanding deposit is R1500 and an unpresented cheque is R800. Calculate the reconciled balance.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Calculate
  Reconciled balance = R6000 + R1500 − R800 = R6700.
  Statement+outstanding deposits−unpresented cheques
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Reconciled balance = R6000 + R1500 − R800 = R6700.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Reconciled balance = R6000 + R1500 − R800 = R6700.
Copy onto your answer sheet — in this order
Formula: Statement + outstanding deposits − unpresented cheques
Answer: Reconciled balance = R6000 + R1500 − R800 = R6700.
6. Check it like a marker
The deposit increases the balance. The cheque decreases it.
7. A trap first-timers fall into
Do not subtract the deposit. It is money the bank has not added yet.
19 · 4 Marks · Financial statements
Accounting Grade 11. Draw the situation for Financial statements. Equipment is R70000, the bank is R16000 and a loan is R10000. Calculate total assets and equity.
Formulas
A=OE+L
The statement of financial position must balance
Notes: Given: equipment R70000, bank R16000, loan R10000. Missing: total assets and equity.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Draw the situation for Financial statements. Equipment is R70000, the bank is R16000 and a loan is R10000. Calculate total assets and equity.
Before any working — hunt first
Given
Numbers and units already in the sentence: 11 · R70000 · R16000 and · R10000. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: total assets and equity. Circle that word — that is the missing variable.
Find
We are required to find: total assets and equity. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
Write A = OE + L with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives total assets and equity.
In other words — as if you have never seen this before
Financial statements. On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
2. What do we already know?
Given: equipment R70000, bank R16000, loan R10000. Missing: total assets and equity.
3. Which method — and why this one?
Financial statements. On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
4. Step-by-step working
1. 01 / 07
  Given
  Given: equipment R70000, bank R16000, loan R10000. Missing: total assets and equity.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  Missing
  What Financial statements has not given you yet.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Find
  Draw the situation for Financial statements. Equipment is R70000, the bank is R16000 and a loan is R10000. Calculate total assets and equity.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Calculate
  Assets R70000 + R16000 = R86000. Equity R76000 + loan R10000 = R86000.
  A=OE+L
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Assets R70000 + R16000 = R86000. Equity R76000 + loan R10000 = R86000.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Assets R70000 + R16000 = R86000. Equity R76000 + loan R10000 = R86000.
Copy onto your answer sheet — in this order
Formula: A=OE+L
Answer: Assets R70000 + R16000 = R86000. Equity R76000 + loan R10000 = R86000.
6. Check it like a marker
Equity plus the loan equals the assets.
7. A trap first-timers fall into
Do not add the loan to the assets. A loan is a liability.
20 · 4 Marks · Bank and creditors reconciliations
Accounting Grade 11. Draw the situation for Bank and creditors reconciliations. The bank statement shows R7000. An outstanding deposit is R2500 and an unpresented cheque is R1200. Calculate the reconciled balance.
Formulas
Statement+outstanding deposits−unpresented cheques
That is the balance both the books and the bank should reach
Notes: Given: statement R7000, deposit R2500, cheque R1200. Missing: the reconciled balance.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Draw the situation for Bank and creditors reconciliations. The bank statement shows R7000. An outstanding deposit is R2500 and an unpresented cheque is R1200. Calculate the reconciled balance.
Before any working — hunt first
Given
Numbers and units already in the sentence: 11 · R7000 · R2500 and · R1200. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: the reconciled balance. Circle that word — that is the missing variable.
Find
We are required to find: the reconciled balance. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
Write Statement + outstanding deposits − unpresented cheques with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives the reconciled balance.
In other words — as if you have never seen this before
Bank and creditors reconciliations. The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
2. What do we already know?
Given: statement R7000, deposit R2500, cheque R1200. Missing: the reconciled balance.
3. Which method — and why this one?
Bank and creditors reconciliations. The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
4. Step-by-step working
1. 01 / 07
  Given
  Given: statement R7000, deposit R2500, cheque R1200. Missing: the reconciled balance.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  Missing
  What Bank and creditors reconciliations has not given you yet.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Find
  Draw the situation for Bank and creditors reconciliations. The bank statement shows R7000. An outstanding deposit is R2500 and an unpresented cheque is R1200. Calculate the reconciled balance.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Calculate
  Reconciled balance = R7000 + R2500 − R1200 = R8300.
  Statement+outstanding deposits−unpresented cheques
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Reconciled balance = R7000 + R2500 − R1200 = R8300.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Reconciled balance = R7000 + R2500 − R1200 = R8300.
Copy onto your answer sheet — in this order
Formula: Statement + outstanding deposits − unpresented cheques
Answer: Reconciled balance = R7000 + R2500 − R1200 = R8300.
6. Check it like a marker
The deposit increases the balance. The cheque decreases it.
7. A trap first-timers fall into
Do not subtract the deposit. It is money the bank has not added yet.
21 · 8 Marks · Financial statements
Accounting Grade 11. Draw the situation for Financial statements. Equipment is R60000, the bank is R18000 and a loan is R10000. Calculate total assets and equity.
Formulas
A=OE+L
The statement of financial position must balance
Notes: Given: equipment R60000, bank R18000, loan R10000. Missing: total assets and equity.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Accounting Grade 11. Draw the situation for Financial statements. Equipment is R60000, the bank is R18000 and a loan is R10000. Calculate total assets and equity.
Before any working — hunt first
Given
Numbers and units already in the sentence: 11 · R60000 · R18000 and · R10000. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: total assets and equity. Circle that word — that is the missing variable.
Find
We are required to find: total assets and equity. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
Write A = OE + L with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives total assets and equity.
In other words — as if you have never seen this before
Financial statements. On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
2. What do we already know?
Given: equipment R60000, bank R18000, loan R10000. Missing: total assets and equity.
3. Which method — and why this one?
Financial statements. On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
4. Step-by-step working
1. 01 / 07
  Given
  Given: equipment R60000, bank R18000, loan R10000. Missing: total assets and equity.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
2. 02 / 07
  Missing
  What Financial statements has not given you yet.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
3. 03 / 07
  Find
  Draw the situation for Financial statements. Equipment is R60000, the bank is R18000 and a loan is R10000. Calculate total assets and equity.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
4. 04 / 07
  Calculate
  Assets R60000 + R18000 = R78000. Equity R68000 + loan R10000 = R78000.
  A=OE+L
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Assets R60000 + R18000 = R78000. Equity R68000 + loan R10000 = R78000.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Assets R60000 + R18000 = R78000. Equity R68000 + loan R10000 = R78000.
Copy onto your answer sheet — in this order
Formula: A=OE+L
Answer: Assets R60000 + R18000 = R78000. Equity R68000 + loan R10000 = R78000.
6. Check it like a marker
Equity plus the loan equals the assets.
7. A trap first-timers fall into
Do not add the loan to the assets. A loan is a liability.
22 · 2 Marks · Partnerships
Partners' salaries are deducted before the remaining profit is shared. A partnership is not a sole trader buying equipment. Which line belongs to Partnerships?
Formulas
Remaining profit=net profit−salaries−interest on capital
What is left is shared in the agreed ratio
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Partners' salaries are deducted before the remaining profit is shared. A partnership is not a sole trader buying equipment. Which line belongs to Partnerships?
Before any working — hunt first
Given
Numbers and units already in the sentence: no numbers yet — only a name, a diagram, or a worded unknown. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: Which line belongs to Partnerships. Circle that word — that is the missing variable.
Find
We are required to find: Which line belongs to Partnerships. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
What we need to calculate: Do not share the whole profit equally and then add the salaries on top. Then substitute the given, one line at a time, to get Which line belongs to Partnerships.
In other words — as if you have never seen this before
Do not share the whole profit equally and then add the salaries on top. The salaries are inside the profit.
2. What do we already know?
Copy these onto the left of your page, one per line, with units: every number and its unit in the sentence. Mixing cm with m, or minutes with seconds, loses a method mark.
3. Which method — and why this one?
Do not share the whole profit equally and then add the salaries on top. The salaries are inside the profit.
4. Step-by-step working
1. 01 / 08
  Step A — Read the question twice
  Slow down. Circle the word that names the unknown. Underline every number and its unit. Do not grab a formula yet — first decide what the paper is actually asking.
  Why this step: If you can say the method in a sentence, you will pick the right formula. First-timers skip this and grab the first equation they remember.
2. 02 / 08
  Step A2 — Hunt: Given, Missing, Find, Calculate
  Given: Numbers and units already in the sentence: no numbers yet — only a name, a diagram, or a worded unknown. Copy each one into a column. A name without a number is not given. Missing: After you copy the given, the letter that still has no number is missing. The paper is pointing at: Which line belongs to Partnerships. Circle that word — that is the missing variable. Find: We are required to find: Which line belongs to Partnerships. Write that as a symbol on the left, with a question mark, before you touch a formula. Calculate: What we need to calculate: Do not share the whole profit equally and then add the salaries on top. Then substitute the given, one line at a time, to get Which line belongs to Partnerships.
  Why this step: Do not name the letters yet. First hunt: what already has a number (Given), what has no number (Missing), the word the paper wants (Find), and which formula still contains the missing letter (Calculate).
3. 03 / 08
  Step B — Write the given in a column
  Copy these onto the left of your page, one per line, with units: every number and its unit in the sentence. Mixing cm with m, or minutes with seconds, loses a method mark.
  Why this step: A column with units stops you mixing cm with m, or minutes with seconds. Markers can also see you started correctly.
4. 04 / 08
  Step C — Name the method in words
  Do not share the whole profit equally and then add the salaries on top. The salaries are inside the profit.
  Why this step: If you can say the method in a sentence, you will pick the right formula. First-timers skip this and grab the first equation they remember.
5. 05 / 08
  Working
  Do not share the whole profit equally and then add the salaries on top. The salaries are inside the profit.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
6. 06 / 08
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
7. 07 / 08
  Step F — Box the answer with its unit
  Do not share the whole profit equally and then add the salaries on top. The salaries are inside the profit.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
8. 08 / 08
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Do not share the whole profit equally and then add the salaries on top. The salaries are inside the profit.
Copy onto your answer sheet — in this order
Answer: Do not share the whole profit equally and then add the salaries on top. The salaries are inside the profit.
6. Check it like a marker
Does your answer appear as one of the options? Do the units match what was asked (m, N, J, °)? If you put the number back into the original equation, does it still hold? Estimate: is the size sensible?
7. A trap first-timers fall into
First-timers often grab the first formula they remember, mix units (cm with m, minutes with seconds), or drop a minus sign. Write the formula in words first: “this equals that, because…”
23 · 2 Marks · Fixed assets and depreciation
Straight-line depreciation spreads the cost less the residual value evenly over the useful life. What is the point of Fixed assets and depreciation?
Formulas
(Cost − residual value)useful life
Straight-line depreciation for one year
Notes: Straight-line depreciation spreads the cost less the residual value evenly over the useful life.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Straight-line depreciation spreads the cost less the residual value evenly over the useful life. What is the point of Fixed assets and depreciation?
In other words — as if you have never seen this before
Straight-line depreciation spreads the cost less the residual value evenly over the useful life.
2. What do we already know?
Straight-line depreciation spreads the cost less the residual value evenly over the useful life.
3. Which method — and why this one?
Straight-line depreciation spreads the cost less the residual value evenly over the useful life.
4. Step-by-step working
1. 01 / 07
  Step A — Read the question twice
  Slow down. Circle the word that names the unknown. Underline every number and its unit. Do not grab a formula yet — first decide what the paper is actually asking.
  Why this step: If you can say the method in a sentence, you will pick the right formula. First-timers skip this and grab the first equation they remember.
2. 02 / 07
  Step B — Write the given in a column
  Straight-line depreciation spreads the cost less the residual value evenly over the useful life.
  Why this step: A column with units stops you mixing cm with m, or minutes with seconds. Markers can also see you started correctly.
3. 03 / 07
  Step C — Name the method in words
  Straight-line depreciation spreads the cost less the residual value evenly over the useful life.
  Why this step: If you can say the method in a sentence, you will pick the right formula. First-timers skip this and grab the first equation they remember.
4. 04 / 07
  Working
  Straight-line depreciation spreads the cost less the residual value evenly over the useful life.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Straight-line depreciation spreads the cost less the residual value evenly over the useful life.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Straight-line depreciation spreads the cost less the residual value evenly over the useful life.
Copy onto your answer sheet — in this order
Answer: Straight-line depreciation spreads the cost less the residual value evenly over the useful life.
6. Check it like a marker
Does your answer appear as one of the options? Do the units match what was asked (m, N, J, °)? If you put the number back into the original equation, does it still hold? Estimate: is the size sensible?
7. A trap first-timers fall into
First-timers often grab the first formula they remember, mix units (cm with m, minutes with seconds), or drop a minus sign. Write the formula in words first: “this equals that, because…”
24 · 2 Marks · Bank and creditors reconciliations
The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted. What is the point of Bank and creditors reconciliations?
Formulas
Statement+outstanding deposits−unpresented cheques
That is the balance both the books and the bank should reach
Notes: The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted. What is the point of Bank and creditors reconciliations?
In other words — as if you have never seen this before
The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
2. What do we already know?
The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
3. Which method — and why this one?
The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
4. Step-by-step working
1. 01 / 07
  Step A — Read the question twice
  Slow down. Circle the word that names the unknown. Underline every number and its unit. Do not grab a formula yet — first decide what the paper is actually asking.
  Why this step: If you can say the method in a sentence, you will pick the right formula. First-timers skip this and grab the first equation they remember.
2. 02 / 07
  Step B — Write the given in a column
  The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
  Why this step: A column with units stops you mixing cm with m, or minutes with seconds. Markers can also see you started correctly.
3. 03 / 07
  Step C — Name the method in words
  The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
  Why this step: If you can say the method in a sentence, you will pick the right formula. First-timers skip this and grab the first equation they remember.
4. 04 / 07
  Working
  The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
Copy onto your answer sheet — in this order
Answer: The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
6. Check it like a marker
Does your answer appear as one of the options? Do the units match what was asked (m, N, J, °)? If you put the number back into the original equation, does it still hold? Estimate: is the size sensible?
7. A trap first-timers fall into
First-timers often grab the first formula they remember, mix units (cm with m, minutes with seconds), or drop a minus sign. Write the formula in words first: “this equals that, because…”
25 · 3 Marks · Bank and creditors reconciliations
Draw the situation for Bank and creditors reconciliations. The bank statement shows R8000. An outstanding deposit is R2500 and an unpresented cheque is R1200. Calculate the reconciled balance.
Formulas
Statement+outstanding deposits−unpresented cheques
That is the balance both the books and the bank should reach
Notes: Given: statement R8000, deposit R2500, cheque R1200. Missing: the reconciled balance.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Draw the situation for Bank and creditors reconciliations. The bank statement shows R8000. An outstanding deposit is R2500 and an unpresented cheque is R1200. Calculate the reconciled balance.
Before any working — hunt first
Given
Numbers and units already in the sentence: R8000 · R2500 and · R1200. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: the reconciled balance. Circle that word — that is the missing variable.
Find
We are required to find: the reconciled balance. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
What we need to calculate: The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted. Then substitute the given, one line at a time, to get the reconciled balance.
In other words — as if you have never seen this before
The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
2. What do we already know?
Given: statement R8000, deposit R2500, cheque R1200. Missing: the reconciled balance.
3. Which method — and why this one?
The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
4. Step-by-step working
1. 01 / 08
  Step A — Read the question twice
  Slow down. Circle the word that names the unknown. Underline every number and its unit. Do not grab a formula yet — first decide what the paper is actually asking.
  Why this step: If you can say the method in a sentence, you will pick the right formula. First-timers skip this and grab the first equation they remember.
2. 02 / 08
  Step A2 — Hunt: Given, Missing, Find, Calculate
  Given: Numbers and units already in the sentence: R8000 · R2500 and · R1200. Copy each one into a column. A name without a number is not given. Missing: After you copy the given, the letter that still has no number is missing. The paper is pointing at: the reconciled balance. Circle that word — that is the missing variable. Find: We are required to find: the reconciled balance. Write that as a symbol on the left, with a question mark, before you touch a formula. Calculate: What we need to calculate: The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted. Then substitute the given, one line at a time, to get the reconciled balance.
  Why this step: Do not name the letters yet. First hunt: what already has a number (Given), what has no number (Missing), the word the paper wants (Find), and which formula still contains the missing letter (Calculate).
3. 03 / 08
  Step B — Write the given in a column
  Given: statement R8000, deposit R2500, cheque R1200. Missing: the reconciled balance.
  Why this step: A column with units stops you mixing cm with m, or minutes with seconds. Markers can also see you started correctly.
4. 04 / 08
  Step C — Name the method in words
  The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted.
  Why this step: If you can say the method in a sentence, you will pick the right formula. First-timers skip this and grab the first equation they remember.
5. 05 / 08
  Working
  The bank statement and the cash journals disagree until outstanding deposits are added and unpresented cheques are subtracted. The deposit increases the balance. The cheque decreases it.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
6. 06 / 08
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
7. 07 / 08
  Step F — Box the answer with its unit
  Reconciled balance = R8000 + R2500 − R1200 = R9300.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
8. 08 / 08
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Reconciled balance = R8000 + R2500 − R1200 = R9300.
Copy onto your answer sheet — in this order
Answer: Reconciled balance = R8000 + R2500 − R1200 = R9300.
6. Check it like a marker
The deposit increases the balance. The cheque decreases it.
7. A trap first-timers fall into
Do not subtract the deposit. It is money the bank has not added yet.
26 · 2 Marks · GAAP principles
What is the answer to keep for GAAP principles?
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: What is the answer to keep for GAAP principles?
In other words — as if you have never seen this before
Record what was paid, do not invent profit, and match the expense to the income it earned.
2. What do we already know?
Copy these onto the left of your page, one per line, with units: every number and its unit in the sentence. Mixing cm with m, or minutes with seconds, loses a method mark.
3. Which method — and why this one?
Record what was paid, do not invent profit, and match the expense to the income it earned.
4. Step-by-step working
1. 01 / 07
  Step A — Read the question twice
  Slow down. Circle the word that names the unknown. Underline every number and its unit. Do not grab a formula yet — first decide what the paper is actually asking.
  Why this step: If you can say the method in a sentence, you will pick the right formula. First-timers skip this and grab the first equation they remember.
2. 02 / 07
  Step B — Write the given in a column
  Copy these onto the left of your page, one per line, with units: every number and its unit in the sentence. Mixing cm with m, or minutes with seconds, loses a method mark.
  Why this step: A column with units stops you mixing cm with m, or minutes with seconds. Markers can also see you started correctly.
3. 03 / 07
  Step C — Name the method in words
  Record what was paid, do not invent profit, and match the expense to the income it earned.
  Why this step: If you can say the method in a sentence, you will pick the right formula. First-timers skip this and grab the first equation they remember.
4. 04 / 07
  Working
  Record what was paid, do not invent profit, and match the expense to the income it earned.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Record what was paid, do not invent profit, and match the expense to the income it earned.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Record what was paid, do not invent profit, and match the expense to the income it earned.
Copy onto your answer sheet — in this order
Answer: Record what was paid, do not invent profit, and match the expense to the income it earned.
6. Check it like a marker
Does your answer appear as one of the options? Do the units match what was asked (m, N, J, °)? If you put the number back into the original equation, does it still hold? Estimate: is the size sensible?
7. A trap first-timers fall into
First-timers often grab the first formula they remember, mix units (cm with m, minutes with seconds), or drop a minus sign. Write the formula in words first: “this equals that, because…”
27 · 2 Marks · Fixed assets and depreciation
Straight-line depreciation spreads the cost less the residual value evenly over the useful life. Which line belongs to Fixed assets and depreciation?
Formulas
(Cost − residual value)useful life
Straight-line depreciation for one year
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Straight-line depreciation spreads the cost less the residual value evenly over the useful life. Which line belongs to Fixed assets and depreciation?
In other words — as if you have never seen this before
Do not divide the full cost by the years if a residual value was given.
2. What do we already know?
Copy these onto the left of your page, one per line, with units: every number and its unit in the sentence. Mixing cm with m, or minutes with seconds, loses a method mark.
3. Which method — and why this one?
Do not divide the full cost by the years if a residual value was given.
4. Step-by-step working
1. 01 / 07
  Step A — Read the question twice
  Slow down. Circle the word that names the unknown. Underline every number and its unit. Do not grab a formula yet — first decide what the paper is actually asking.
  Why this step: If you can say the method in a sentence, you will pick the right formula. First-timers skip this and grab the first equation they remember.
2. 02 / 07
  Step B — Write the given in a column
  Copy these onto the left of your page, one per line, with units: every number and its unit in the sentence. Mixing cm with m, or minutes with seconds, loses a method mark.
  Why this step: A column with units stops you mixing cm with m, or minutes with seconds. Markers can also see you started correctly.
3. 03 / 07
  Step C — Name the method in words
  Do not divide the full cost by the years if a residual value was given.
  Why this step: If you can say the method in a sentence, you will pick the right formula. First-timers skip this and grab the first equation they remember.
4. 04 / 07
  Working
  Do not divide the full cost by the years if a residual value was given.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Do not divide the full cost by the years if a residual value was given.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Do not divide the full cost by the years if a residual value was given.
Copy onto your answer sheet — in this order
Answer: Do not divide the full cost by the years if a residual value was given.
6. Check it like a marker
Does your answer appear as one of the options? Do the units match what was asked (m, N, J, °)? If you put the number back into the original equation, does it still hold? Estimate: is the size sensible?
7. A trap first-timers fall into
First-timers often grab the first formula they remember, mix units (cm with m, minutes with seconds), or drop a minus sign. Write the formula in words first: “this equals that, because…”
28 · 2 Marks · Financial statements
On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase. What is the point of Financial statements?
Formulas
A=OE+L
The statement of financial position must balance
Notes: On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase. What is the point of Financial statements?
In other words — as if you have never seen this before
On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
2. What do we already know?
On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
3. Which method — and why this one?
On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
4. Step-by-step working
1. 01 / 07
  Step A — Read the question twice
  Slow down. Circle the word that names the unknown. Underline every number and its unit. Do not grab a formula yet — first decide what the paper is actually asking.
  Why this step: If you can say the method in a sentence, you will pick the right formula. First-timers skip this and grab the first equation they remember.
2. 02 / 07
  Step B — Write the given in a column
  On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
  Why this step: A column with units stops you mixing cm with m, or minutes with seconds. Markers can also see you started correctly.
3. 03 / 07
  Step C — Name the method in words
  On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
  Why this step: If you can say the method in a sentence, you will pick the right formula. First-timers skip this and grab the first equation they remember.
4. 04 / 07
  Working
  On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
Copy onto your answer sheet — in this order
Answer: On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
6. Check it like a marker
Does your answer appear as one of the options? Do the units match what was asked (m, N, J, °)? If you put the number back into the original equation, does it still hold? Estimate: is the size sensible?
7. A trap first-timers fall into
First-timers often grab the first formula they remember, mix units (cm with m, minutes with seconds), or drop a minus sign. Write the formula in words first: “this equals that, because…”
29 · 3 Marks · Financial statements
Draw the situation for Financial statements. Equipment is R70000, the bank is R16000 and a loan is R10000. Calculate total assets and equity.
Formulas
A=OE+L
The statement of financial position must balance
Notes: Given: equipment R70000, bank R16000, loan R10000. Missing: total assets and equity.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Draw the situation for Financial statements. Equipment is R70000, the bank is R16000 and a loan is R10000. Calculate total assets and equity.
Before any working — hunt first
Given
Numbers and units already in the sentence: R70000 · R16000 and · R10000. Copy each one into a column. A name without a number is not given.
Missing
After you copy the given, the letter that still has no number is missing. The paper is pointing at: total assets and equity. Circle that word — that is the missing variable.
Find
We are required to find: total assets and equity. Write that as a symbol on the left, with a question mark, before you touch a formula.
Calculate
What we need to calculate: On the statement of financial position, assets equal equity plus liabilities. Then substitute the given, one line at a time, to get total assets and equity.
In other words — as if you have never seen this before
On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
2. What do we already know?
Given: equipment R70000, bank R16000, loan R10000. Missing: total assets and equity.
3. Which method — and why this one?
On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
4. Step-by-step working
1. 01 / 08
  Step A — Read the question twice
  Slow down. Circle the word that names the unknown. Underline every number and its unit. Do not grab a formula yet — first decide what the paper is actually asking.
  Why this step: If you can say the method in a sentence, you will pick the right formula. First-timers skip this and grab the first equation they remember.
2. 02 / 08
  Step A2 — Hunt: Given, Missing, Find, Calculate
  Given: Numbers and units already in the sentence: R70000 · R16000 and · R10000. Copy each one into a column. A name without a number is not given. Missing: After you copy the given, the letter that still has no number is missing. The paper is pointing at: total assets and equity. Circle that word — that is the missing variable. Find: We are required to find: total assets and equity. Write that as a symbol on the left, with a question mark, before you touch a formula. Calculate: What we need to calculate: On the statement of financial position, assets equal equity plus liabilities. Then substitute the given, one line at a time, to get total assets and equity.
  Why this step: Do not name the letters yet. First hunt: what already has a number (Given), what has no number (Missing), the word the paper wants (Find), and which formula still contains the missing letter (Calculate).
3. 03 / 08
  Step B — Write the given in a column
  Given: equipment R70000, bank R16000, loan R10000. Missing: total assets and equity.
  Why this step: A column with units stops you mixing cm with m, or minutes with seconds. Markers can also see you started correctly.
4. 04 / 08
  Step C — Name the method in words
  On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase.
  Why this step: If you can say the method in a sentence, you will pick the right formula. First-timers skip this and grab the first equation they remember.
5. 05 / 08
  Working
  On the statement of financial position, assets equal equity plus liabilities. This is a statement, not a new purchase. Equity plus the loan equals the assets.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
6. 06 / 08
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
7. 07 / 08
  Step F — Box the answer with its unit
  Assets R70000 + R16000 = R86000. Equity R76000 + loan R10000 = R86000.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
8. 08 / 08
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Assets R70000 + R16000 = R86000. Equity R76000 + loan R10000 = R86000.
Copy onto your answer sheet — in this order
Answer: Assets R70000 + R16000 = R86000. Equity R76000 + loan R10000 = R86000.
6. Check it like a marker
Equity plus the loan equals the assets.
7. A trap first-timers fall into
Do not add the loan to the assets. A loan is a liability.
30 · 2 Marks · GAAP principles
Worked theory. A panel beater in Welkom bought a compressor for R18 000 three years ago. A friend says it would sell for R25 000 today, so the owner wants to raise the asset and the profit by R7 000. Historical cost leaves the compressor at R18 000 less depreciation. The R7 000 is not a profit yet, because nobody has paid it, so prudence also blocks the increase. The statements stay comparable with last year. A hoped-for price is not a transaction. What does this case show about GAAP principles?
Notes: GAAP is the set of rules that keeps financial statements comparable and honest. The ones used most in Grade 11 are historical cost, prudence, matching, going concern and materiality.
How we got there
Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.
Explain in another language · 11
1. What is the question asking?
Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: Worked theory. A panel beater in Welkom bought a compressor for R18 000 three years ago. A friend says it would sell for R25 000 today, so the owner wants to raise the asset and the profit by R7 000. Historical cost leaves the compressor at R18 000 less depreciation. The R7 000 is not a profit yet, because nobody has paid it, so prudence also blocks the increase. The statements stay comparable with last year. A hoped-for price is not a transaction. What does this case show about GAAP principles?
In other words — as if you have never seen this before
Record what was paid, do not invent profit, and match the expense to the income it earned.
2. What do we already know?
GAAP is the set of rules that keeps financial statements comparable and honest. The ones used most in Grade 11 are historical cost, prudence, matching, going concern and materiality.
3. Which method — and why this one?
Record what was paid, do not invent profit, and match the expense to the income it earned.
4. Step-by-step working
1. 01 / 07
  Step A — Read the question twice
  Slow down. Circle the word that names the unknown. Underline every number and its unit. Do not grab a formula yet — first decide what the paper is actually asking.
  Why this step: If you can say the method in a sentence, you will pick the right formula. First-timers skip this and grab the first equation they remember.
2. 02 / 07
  Step B — Write the given in a column
  GAAP is the set of rules that keeps financial statements comparable and honest. The ones used most in Grade 11 are historical cost, prudence, matching, going concern and materiality.
  Why this step: A column with units stops you mixing cm with m, or minutes with seconds. Markers can also see you started correctly.
3. 03 / 07
  Step C — Name the method in words
  Record what was paid, do not invent profit, and match the expense to the income it earned.
  Why this step: If you can say the method in a sentence, you will pick the right formula. First-timers skip this and grab the first equation they remember.
4. 04 / 07
  Working
  Historical cost records an asset at what was paid, not at a guessed selling price. Prudence means you do not count a profit until it is reasonably certain, and you do count a likely loss. Matching puts an expense in the same period as the income it helped to earn. Going concern means you assume the business will keep operating, so you do not value everything as if it will be sold tomorrow. Materiality means a small item can be treated simply, and a large one must be shown clearly.
  Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.
5. 05 / 07
  Step G — Sense-check the size
  Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.
  Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.
6. 06 / 07
  Step F — Box the answer with its unit
  Record what was paid, do not invent profit, and match the expense to the income it earned.
  Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.
7. 07 / 07
  Step H — What the marker is looking for
  On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.
  Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.
5. The answer
Record what was paid, do not invent profit, and match the expense to the income it earned.
Copy onto your answer sheet — in this order
Answer: Record what was paid, do not invent profit, and match the expense to the income it earned.
6. Check it like a marker
Does your answer appear as one of the options? Do the units match what was asked (m, N, J, °)? If you put the number back into the original equation, does it still hold? Estimate: is the size sensible?
7. A trap first-timers fall into
First-timers often grab the first formula they remember, mix units (cm with m, minutes with seconds), or drop a minus sign. Write the formula in words first: “this equals that, because…”