Jojomat Ltd owns a small business making and selling children’s toys. The following trial balance was extracted from her books on 31 December 2020: Particulars Debit RM Credit RM Capital 15,000 Drawings 2,000 Sales 90,000 Inventory at 1 January 2020: Raw materials Finished goods 3,400 6,100 Purchased of raw materials 18,000 Carriage inwards 800 Factory wages 18,500 Office salaries 16,900 Jojomat : Salary and expenses 10,400 General expenses: Factory Office 1,200 750 Lighting 2,500 Rent 3,750 Insurance 950 Advertising 1,400 Bad debts 650 Discount received 1,600 Prepared by: Puan Siti Nor Junita Mohd Radzi Carriage outwards 375 Plant and machinery, a cost less depreciation 9,100 Car, at cost less depreciation 4,200 Bank 3,600 Cash in hand 325 Account receivable and account payable 7,700 6,000 TOTAL 112,600 112,600 Additional information: Inventory at 31 December 2020: Raw materials RM2,900 Finished goods RM8,200 Depreciation for the year is to be charged as follows: Plant and machinery RM1,500 Car RM500 iii. At 31 December 2020 insurance paid in advance was RM150 and office general expenses unpaid were RM75 Lighting and rent are to be apportioned :4/5 Factory, 1/5 Office v. Insurance are to be apportioned: ¾ Factory ¼ Office Jojo is the business sales person and her salary and expenses are to be treated as a selling expense. She has sole use of a business car. Required: a) Prepare statement of cost production for the year ended 31 December 2020. b) Prepare statement of comprehensive income for the year ended 31 December 2020. c) Prepare statement of financial position as at 31 December 2020.
Jojomat Ltd owns a small business making and selling children’s toys. The following
Particulars |
Debit RM |
Credit RM |
Capital |
15,000 |
|
Drawings |
2,000 |
|
Sales |
90,000 |
|
Inventory at 1 January 2020: Raw materials Finished goods |
3,400 6,100 |
|
Purchased of raw materials |
18,000 |
|
Carriage inwards |
800 |
|
Factory wages |
18,500 |
|
Office salaries |
16,900 |
|
Jojomat : Salary and expenses |
10,400 |
|
General expenses: Factory Office |
1,200 750 |
|
Lighting |
2,500 |
|
Rent |
3,750 |
|
Insurance |
950 |
|
Advertising |
1,400 |
|
|
650 |
|
Discount received |
1,600 |
Prepared by: Puan Siti Nor Junita Mohd Radzi
Carriage outwards |
375 |
|
Plant and machinery, a cost less |
9,100 |
|
Car, at cost less depreciation |
4,200 |
|
Bank |
3,600 |
|
Cash in hand |
325 |
|
|
7,700 |
6,000 |
TOTAL |
112,600 |
112,600 |
Additional information:
- Inventory at 31 December 2020:
- Raw materials RM2,900
- Finished goods RM8,200
- Depreciation for the year is to be charged as follows:
- Plant and machinery RM1,500
- Car RM500
iii. At 31 December 2020 insurance paid in advance was RM150 and office general expenses unpaid were RM75
- Lighting and rent are to be apportioned :4/5 Factory, 1/5 Office v. Insurance are to be apportioned: ¾ Factory ¼ Office
- Jojo is the business sales person and her salary and expenses are to be treated as a selling expense. She has sole use of a business car.
Required:
- a) Prepare statement of cost production for the year ended 31 December 2020. b) Prepare statement of comprehensive income for the year ended 31 December 2020. c) Prepare
statement of financial position as at 31 December 2020.
Trending now
This is a popular solution!
Step by step
Solved in 4 steps