Indira is a computer consultant. She does not keep a full set of double entry accounts but the following information is available for the year ended 31 March 2010. Summarised Cash Book $ $ Balance 1 April 2009 3500 Purchase of office equipment 5500 Receipts of consultancy fees 74000 Wages 23600 Sale of office equipment 750 Drawings 20000 Loan interest and repayments 2600 General expenses 12900 Rent 9000 Balance 31 March 2010 4650 78250 78250 The sale of office equipment was at net book value. Additional information: 1 April 31 March 2009 2010 $ $ Plant and equipment (Office equipment) 16000 17500 Trade receivables (debtors) for consultancy fees 14200 11000 Non-current liability (6% loan) 10000 8000 Other receivables (General expenses prepaid) 100 500 Other payables (Rent accrued) 400 600 Included within the wages in the summarised cash book are payments to the office supervisor. The office supervisor is paid $1000 per month plus 10 hours overtime per month at $8 per hour. Statutory deductions will be made at the rate of 15%. Indira will also have to make a 10% employer's contribution to the government.

1. (a)(i)Calculate the capital at 1 April 2009.[3]
2. (a)(ii)Calculate the consultancy fees for the year ended 31 March 2010.[3]
3. (b)Prepare the income statement (profit and loss account) for the year ended 31 March 2010.[7]
4. (c)(i)Indira does not keep a full set of double entry accounts. State two advantages to Indira of maintaining a full set of double entry accounts.[2]
5. (c)(ii)Indira does not keep a full set of double entry accounts. State two advantages to Indira of maintaining a full set of double entry accounts.[2]
6. (d)(i)Calculate: The net payment made by Indira to the office supervisor for one month.[3]
7. (d)(ii)Calculate: The total cost to Indira of employing the office supervisor for one month.[2]