prepare income statement and balance sheet..

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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The trial balance for Andrew’s Slabs as at 30 June 2017 was:

Trial Balance

Details

Debit $

Credit $

Cash at Bank

10,700

 

Accounts receivable

52,000

 

Inventory

20,000

 

Equipment

45,000

 

Accumulated depreciation on equipment

 

10,000

Vehicles

50,000

 

Accumulated depreciation motor vehicles

 

6,250

Land

27,500

 

Accounts payable

 

25,000

Loan

 

85,000

Capital

 

181,430

Sales revenue

 

120,000

Interest revenue

 

2,000

Cost of goods sold

86,250

 

Salaries expense

30,000

 

Rates expense

1,500

 

Stationery expense

800

 

Advertising expense

1,900

 

Interest expense

300

 

Motor Vehicle expense

780

 

Repairs Expense

2,500

 

Insurance Expense

450

 

Total

329,680

329,680

additional information:

  1. Depreciation of equipment 10% using the straight-line method
  2. Depreciation of vehicles 12.5% using the diminishing balance method
  3. Rates paid in advance $600
  4. Salaries owing $3,500
  5. Interest revenue earned but not received $1,300
  6. Create an allowance for doubtful debts equal to 5% of accounts receivable.
  7. Physical stocktake determined inventory at end 30 June 2017 was $18,800 

prepare income statement and balance sheet.. its urgent please..

 

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