Transform the raw data into an ordered trial balance. Then pass adjusting entries in pure journal form, Then make working notes, then  make adjusted trial balance, then the income statement and balance sheet.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Transform the raw data into an ordered trial balance. Then pass adjusting entries in pure journal form, Then make working notes, then  make adjusted trial balance, then the income statement and balance sheet

28.10A J Wright, a sole trader, extracted the following trial balance from his books at the close
of business on 31 March 20X9:
Dr
Cr
f
f
Purchases and sales
61,420
7,940
127,245
Stock 1 April 20X8
Capital 1 April 20X8
Bank overdraft
25,200
2,490
Cash
140
Discounts
2,480
3,486
62
Returns inwards
Returns outwards
1,356
Carriage outwards
Rent and insurance
Provision for doubtful debts
3,210
8,870
630
Fixtures and fittings
1,900
5,600
12,418
21,400
39,200
Van
Debtors and creditors
11,400
Drawings
Wages and salaries
General office expenses
319
168,383
168,383
Notes:
(a) Stock 31 March 20X9 £6,805.
(b) Wages and salaries accrued at 31 March 20X9 £3,500; Office expenses owing £16.
(c) Rent prepaid 31 March 20x9 £600.
(d) Increase the provision for doubtful debts by £110 to £740.
(e) Provide for depreciation as follows: Fixtures and fittings £190; Van £1,400.
Transcribed Image Text:28.10A J Wright, a sole trader, extracted the following trial balance from his books at the close of business on 31 March 20X9: Dr Cr f f Purchases and sales 61,420 7,940 127,245 Stock 1 April 20X8 Capital 1 April 20X8 Bank overdraft 25,200 2,490 Cash 140 Discounts 2,480 3,486 62 Returns inwards Returns outwards 1,356 Carriage outwards Rent and insurance Provision for doubtful debts 3,210 8,870 630 Fixtures and fittings 1,900 5,600 12,418 21,400 39,200 Van Debtors and creditors 11,400 Drawings Wages and salaries General office expenses 319 168,383 168,383 Notes: (a) Stock 31 March 20X9 £6,805. (b) Wages and salaries accrued at 31 March 20X9 £3,500; Office expenses owing £16. (c) Rent prepaid 31 March 20x9 £600. (d) Increase the provision for doubtful debts by £110 to £740. (e) Provide for depreciation as follows: Fixtures and fittings £190; Van £1,400.
Required:
Prepare the trading and profit and loss accounts for the year ended 31 March 20X9 together with a
balance sheet as at that date.
Transcribed Image Text:Required: Prepare the trading and profit and loss accounts for the year ended 31 March 20X9 together with a balance sheet as at that date.
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