Asterix plc, a manufacturing company, has extracted the following balances from its books of account for the year ended 30 April 2012: $Revenues6 500Purchases of raw materials1 450Carriage inwards130Carriage outwards75Direct labour1 675Factory overheads1 350Office overheads1 025Inventories at 1 May 2011: Raw materials140Work in progress165Finished goods (at transfer price)330Additional information:Factory overheads of $70 000 are accrued at 30 April 2012.Office overheads of $35 000 have been prepaid at 30 April 2012.Depreciation for the year on the non-current assets totaled $150 000 and this is to be split between the factory and the office in the ratio 2:1.Completed production is transferred at a mark-up on cost of 20%.Inventories were valued on 30 April 2012 as follows: Raw materials 235 work in progress 320 Finished goods (at transfer price) 438REQUIREDPrepare an extract from the statement of financial position at 30 April 2012 to show all inventories

Statement of financial position shows financial position of the business by showing all assets and…

Answered: Asterix plc, a manufacturing company,…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Concept explainers

Question

Asterix plc, a manufacturing company, has extracted the following balances from its books of account for the year ended 30 April 2012:

	$
Revenues	6 500
Purchases of raw materials	1 450
Carriage inwards	130
Carriage outwards	75
Direct labour	1 675
Factory overheads	1 350
Office overheads	1 025
Inventories at 1 May 2011:
Raw materials	140
Work in progress	165
Finished goods (at transfer price)	330

Additional information:

Factory overheads of $70 000 are accrued at 30 April 2012.
Office overheads of $35 000 have been prepaid at 30 April 2012.
Depreciation for the year on the non-current assets totaled $150 000 and this is to be split between the factory and the office in the ratio 2:1.
Completed production is transferred at a mark-up on cost of 20%.
Inventories were valued on 30 April 2012 as follows:

Raw materials 235

work in progress 320

Finished goods (at transfer price) 438

REQUIRED

- Prepare an extract from the statement of financial position at 30 April 2012 to show all inventories

Expert Solution

Step by step

Solved in 2 steps with 1 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions