ThefollowingtrialbalancehasbeenextractedfromtheledgerofMr.Cole,asoletrader: Trialbalanceasat31December,2020 Particulars Debit¢ Credit¢ Sales 138,000 Purchases 82,350 Travelexpenses 5,200 Drawings 7,800 Rent,rates&insurance 6,600 Postageandstationery 3,000 Advertisement 1,330 Salariesandwages 26,420 Baddebt 8,700 InvestmentIncome 15,890 Debtors 12,120 Creditors 130 Cashinhand 1,700 Cashatbank 1,000 Inventoryasat1January,2020 11,800 Equipmentatcost 58,000 Loan 19,000 Capital 53,000 226,020 226,020 Inventoryatthecloseofbusinesshasbeenvaluedat¢13,500 Required; Prepareanincomestatementfortheyearending31stDecember2020andabalancesheetasat thatdate.
ThefollowingtrialbalancehasbeenextractedfromtheledgerofMr.Cole,asoletrader: Trialbalanceasat31December,2020 Particulars Debit¢ Credit¢ Sales 138,000 Purchases 82,350 Travelexpenses 5,200 Drawings 7,800 Rent,rates&insurance 6,600 Postageandstationery 3,000 Advertisement 1,330 Salariesandwages 26,420 Baddebt 8,700 InvestmentIncome 15,890 Debtors 12,120 Creditors 130 Cashinhand 1,700 Cashatbank 1,000 Inventoryasat1January,2020 11,800 Equipmentatcost 58,000 Loan 19,000 Capital 53,000 226,020 226,020 Inventoryatthecloseofbusinesshasbeenvaluedat¢13,500 Required; Prepareanincomestatementfortheyearending31stDecember2020andabalancesheetasat thatdate.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
ThefollowingtrialbalancehasbeenextractedfromtheledgerofMr.Cole,asoletrader:
Trialbalanceasat31December,2020
Particulars
Debit¢
Credit¢
Sales
138,000
Purchases
82,350
Travelexpenses
5,200
Drawings
7,800
Rent,rates&insurance
6,600
Postageandstationery
3,000
Advertisement
1,330
Salariesandwages
26,420
Baddebt
8,700
InvestmentIncome
15,890
Debtors
12,120
Creditors
130
Cashinhand
1,700
Cashatbank
1,000
Inventoryasat1January,2020
11,800
Equipmentatcost
58,000
Loan
19,000
Capital
53,000
226,020
226,020
Inventoryatthecloseofbusinesshasbeenvaluedat¢13,500
Required;
Prepareanincomestatementfortheyearending31stDecember2020andabalancesheetasat
thatdate.
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