Emma lives in a small town in the rural areas of South Africa. In 2010 she came up with the bright idea of manufacturing funky products from waste material. She decided to get her community involved. Everybody was very excited when they heard about her idea.
Her business is called Emma’s Evagreen Lifestyle Products. The products manufactured include home accessories and fashion accessories. For some of the products Emma buys waste material that has already been recycled into a useable format from suppliers, but for some of the products, the community brings waste material to Emma which she then pays them for.
She has employed a number of people living in the area to each manufacture one specific product. She promised them 5% of the total gross profit excluding VAT as a Christmas bonus if the number of units of the specific product they are manufacturing are equal to or exceeding the average number of units sold for all products. She identifies whose product has been sold by allocating a product code to each type of product manufactured.
Emma has been operating the business from 1 July 2010 – 31 December 2010 when she approached you, her Excel expert friend, to help her get her accounting records in order.
You created a spreadsheet for Emma’s Evagreen Lifestyle Products, after taking the information below into account:
The Value Added Tax (VAT) percentage is 14% and is entered into cell B5.
The gross profit percentage on the cost of sales is determined by whether Emma buys the waste material from suppliers or from the community. If the waste material has been bought from suppliers (indicated by the code “SUP”), the gross profit percentage is 15%, located in cell B4 and if the waste material has been brought to Emma by the community (indicated by the code “COM”), the gross profit percentage is 10%, located in cell B3.
Every ehttps://pasteltrainer.co.za/wp-admin/edit.php?post_type=dt_questionsmployee manufactures one unique product.
The employee code consists of the first three letters of every employee’s name.
The product code is made up of a combination of the employee code and where the waste material has been bought i.e. the source of the waste material.
A Christmas bonus of 5% of the total gross profit excluding VAT is paid to every employee whose product sales per unit are equal to or have exceeded the average units sold of all products.
You created the spreadsheet :
OPEN PDF HERE
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