*i 0 7 57% + 10:34Question 1 - UnsavedQuestion 1Alhaji Damba is a building contractor, doing repair work for local householders.Hiswife keeps some accounting records but not on a double-entry basis.The assets and liabilities of the business at 30 June 2017 were as follows:GHcAssetsPlant & equipment:depreciation to dateMotor Van: costdepreciation to dateStock of materials12,6005,8009,0006,50014,160DebtorsRent of premises paid in advance to 30 September 2017Insurance paid in advance to 31 December 2017Bank balanceCash in hand9,4907507001,860230LiabilitiesCreditors for suppliesTelephone bill owingElectricity owing3,460210180His cash and bank transactions for the year from 1 July 2017 to 30 June 2018 are as follows:Cash and Bank summaryReceiptsCashBank PaymentsCashBankGH¢GH¢GH¢GH¢Opening balanceReceipts from customers2301,860 Suppliers83,9903,6001,60052,640 150,880 Rent of premisesLoan received10,000 InsurancePurchase of plant &3,000 equipment24,040 Purchase of new vehicleProceeds of sale vehicle8,40012,800860890held at beginning of yearCash paid into bankCash withdrawn from bank48,260Telephone2,100 ElectricityWages of repair staffMiscellaneous expensesClosing balance68,200Drawings by Alhaji DambaRefund to customers1,28029,8004008,000Cash paid into bank24,04048,260890Cash withdrawn from bankClosing balance101,130 191,880101,130 191,880The following further information is available1) Plant & equipment is to be depreciated at 25% per annum on thereducingbalance with a full year's charge in the year of purchase. *i 0 7 57% + 10:34Question 1 - Unsaved2) At the beginning of the year, a motor vehicle at a cost of GH¢ 4,000 withaccumulated depreciation of GH¢ 2,500 was disposed of for GH¢ 3,000.3) The new motor vehicle was purchased on 1 January 2018. Alhaji Damba'sdepreciationpolicy is to charge depreciation at 25% per annum on the straight-linebasis, with a proportionate charge in the year of purchase, but none in the year of sale.4) The rent of the premises was increased by 20% from1 October 2017.5) The loan of GH¢10,000 was obtained from Alhaji Damba's brother on 1 July2017. It carries interest at 10% per annum, payableMarch.30 September and 316) At 30 June 2018, Alhaji Damba owed the following amounts:GH¢ 4,090SuppliersTelephoneGH¢ 240GH¢ 220ElectricityMiscellaneous expensesGH¢ 490Theodora, Belinda, Priscilla, Graham, & Fred7) At 30 June 2018, amounts due from customers totalled GH¢10,860. Of thisamount, Alhaji Damba considered that debts totalling GH¢1,280 were badandshould be written off.8) Stock of materials at 30 June was GH¢12,170.9) Alhaji Damba agreed to pay his wife GH¢5,000 for her assistance with hisofficework during the year. This amount was actually paid in August 2018.Required:Prepare Alhaji Damba's income statement for the year ended 30 June 2018 and hisstatementof financial position as at that date.Question 2Adiza is sole trader who does not keep a full double entry system of bookkeeping. However,shehas been able to furnish you with the following information on July 31st 2018.31/07/201831/07/2017GH¢GH¢Trade receivables475,600286,000Trade payablesTravelling and transport expenses owing527,400545,000213,000182,000InventoryFurniture and fittings116,310175,000893,000528,000Delivery vanPrepaid advertisingRent owing1,123,0001,300,00092,00087,200588,000411,600Adiza pays all cash received into the bank and all payments are made by cheque. Below isasummary of the business bank transactions:

Name: *i 0 7 57% + 10:34Question 1 - UnsavedQuestion 1Alhaji Damba is a bui
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Description: *i 0 7 57% + 10:34Question 1 - UnsavedQuestion 1Alhaji Damba is a building contractor, doing repair work for local householders.Hiswife keeps some accounting records but not on a double-entry basis.The assets and liabilities of the business at 30 Ju