CSEC Principles of Accounts Paper 2 January 2026 - Free CXC Past Paper with Answers

Use the form provided on your answer booklet, to prepare the receipts and payments account for the Seagulls Water Sports Club for the year ended December 31, 2024. Be sure to bring down the opening balance of available cash for January 1, 2025.

On December 31, 2024, the treasurer received a bank statement for the Seagulls Water Sports Club.

The following notes were made based on that bank statement.

Use the relevant information to calculate the updated cash balance for the Seagulls Water Sports Club at the end of the year.

Use the form provided on your answer booklet, to prepare a bank reconciliation statement for the Seagulls Water Sports Club at December 31, 2024, to arrive at the bank statement balance. Begin with the updated cash balance as at December 31, 2024.

State TWO source documents which are related to the preparation of the payroll.

State ONE accounting software programme that can be used for preparing the payroll.

The following information is about John Wren, the security van driver employed by E.A.I. He has a basic working week of 40 hours and is paid at a basic rate of $80 per hour. John Wren is paid $1\frac{1}{2}$ times the basic rate for any overtime worked.

For the week ended May 3, 2025, he worked 60 hours. The weekly tax information for John Wren is as follows.

Calculate John Wren's gross pay for the week.

Calculate John Wren's income tax payable for the week.

Calculate John Wren's net pay (take-home pay) for the week.

< ![CDATA[State ONE difference between a statutory deduction and a non-statutory deduction.

State ONE duty performed by an accountant.

Other than the owner and the accountant, state ONE internal user of JSR’s financial information.

State ONE external user who may have an interest in JSR’s financial information.

State ONE reason why the external user stated in (b) (ii) would have an interest in JSR’s financial information.

< ![CDATA[Insert a check mark (✓) in the appropriate column to indicate which statement EACH transaction will impact. An example has been provided for you.

< ![CDATA[Jennie Singh and Lance Maraj were sole traders. They agreed to combine all assets and liabilities to form the J and L Partnership chain of retail hardware outlets. Trading began on January 1, 2025.

The individual lists of account balances as at December 31, 2024 were as follows.

Use the form provided on your answer booklet to prepare a classified opening statement of financial position, in the order of permanence, for the J and L Partnership as at January 1, 2025.

At December 31, 2025, the J and L Partnership realized a total net profit of $62 000. The partners previously agreed to share profits in proportion to their invested capital. Calculate the return on capital invested for Jennie Singh.

For EACH of the descriptions listed in the table on your answer booklet, place a check mark (✓) in the appropriate column to select which type(s) of business relate to the description. Note that some of the descriptions may relate to more than one type of business.

The following information relates to the Grande Ravine Farmers' Cooperative for the year ended December 31, 2025.

Grande Ravine Farmers' Cooperative

Trial Balance

As at December 31, 2025

Additional Information

• Membership fees due at year end was $24 000.
• Motor vehicle running costs owing was $11 000 as at December 31, 2025.
• Office expenses paid in advance was $20 000.
• Depreciation to be charged as follows.
  • Equipment: 10% per annum using the straight-line method
  • Motor vehicles: 20% per annum using the reducing balance method
• The board of management decided to transfer 20% of the undistributed surplus for the year to the statutory reserve.
• An honorarium of $15 000 is to be paid to the board of management.

Use the form provided on your answer booklet to prepare the income and expenditure account for the Grande Ravine Farmers' Cooperative for the year ended December 31, 2025.

Use the form provided on your answer booklet to prepare the appropriation account for the Grande Ravine Farmers' Cooperative for the year ended December 31, 2025.