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ts to 31st of September 2021. She contributed to the business with sh, 45,000 flat and 12,000 Car. The transactions during the month are n for redit from Home I td

ts to 31st of September 2021. She contributed to the business with sh, 45,000 flat and 12,000 Car. The transactions during the month are n for redit from Home I td

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Please help with the Income statement and the Statement of Financial position for the question in the attachment

Anne York is a sole trader who started the business of buying and selling furniture in Brighton on the 1st of October 2021. She is going to prepare accounts to 31st of September 2021. She contributed to the business with £10,000 in the Bank, £4,800 cash, 45,000 flat and 12,000 Car. The transactions during the month are as follows: 2/10 Purchased furniture £5400 for sale on credit from Home Ltd 4/10 She bought a computer for £800 and a printer £200 from a local shop in London and paid by cheque. 5/10 Sold goods for £ 2800 and received the money via Bank account 12/10 Paid in Cash £110 for repairing printer 18/10 Part of furniture returned to Home Ltd £250 21/10 The owner received rent £800 for flat and deposited it to the bank account 23/10 Sold goods to Rayan £2100; from this amount £1800 cash received immediately and the rest remains on credit. 23/10 Sold goods of £700 to David and received cash 24/10 Bought a new Laptop for business use by issuing a cheque £1700 26/10 Paid the month's wages to the part-lime shopkeeper by cheque £820 30/10 The owner rented an office place in a Business Park near the London on 1* October and paid rent by cheque £850 31/10 The owner has also paid £ 1200 from the business bank account to book a hotel and fight in Sotland for her holiday. 31/10 £150 Cash received from Rayan. Required: a. Prepare an Income Statement for the period ended 31st October 2021 The closing inventory is £ 320 b. Prepare a Statement of Financial Position as at 31st October 2020
Transcribed Image Text:Anne York is a sole trader who started the business of buying and selling furniture in Brighton on the 1st of October 2021. She is going to prepare accounts to 31st of September 2021. She contributed to the business with £10,000 in the Bank, £4,800 cash, 45,000 flat and 12,000 Car. The transactions during the month are as follows: 2/10 Purchased furniture £5400 for sale on credit from Home Ltd 4/10 She bought a computer for £800 and a printer £200 from a local shop in London and paid by cheque. 5/10 Sold goods for £ 2800 and received the money via Bank account 12/10 Paid in Cash £110 for repairing printer 18/10 Part of furniture returned to Home Ltd £250 21/10 The owner received rent £800 for flat and deposited it to the bank account 23/10 Sold goods to Rayan £2100; from this amount £1800 cash received immediately and the rest remains on credit. 23/10 Sold goods of £700 to David and received cash 24/10 Bought a new Laptop for business use by issuing a cheque £1700 26/10 Paid the month's wages to the part-lime shopkeeper by cheque £820 30/10 The owner rented an office place in a Business Park near the London on 1* October and paid rent by cheque £850 31/10 The owner has also paid £ 1200 from the business bank account to book a hotel and fight in Sotland for her holiday. 31/10 £150 Cash received from Rayan. Required: a. Prepare an Income Statement for the period ended 31st October 2021 The closing inventory is £ 320 b. Prepare a Statement of Financial Position as at 31st October 2020
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