Answer to Question #177873 in Accounting for Jodi-Ann Hart

Question

Control Accounts and Incomplete Records

Bank

Balance b/d 40,000 Payments to suppliers 492,020

Cash sales 170,000 Cash purchases 32,500

Receipts from debtors 458,560 Rent 57,500

Motor vehicle 300,000 Fixtures 220,000

Bank interest 2,500 Rates 8,500

Commission 73,000 Wages 66,000

Balance c/d 53,960 General office expenses 11,500

Loan 78,000

Drawings 132,000

Total 1,098,020 1,098,020

List of balances:

Details Jan 1 Dec 31

Creditors 83,200 91,030

Debtors 94,500 82,400

Stock 75,500 95,600

Loan 194,000 116,000

Building 340,000 340,000

Motor vehicle 720,000 400,000

Fixtures 0 210,000

Rates prepaid 4,600 7,600

Commission owing 21,500 25,000

Wages owing 14,500 22,000

Additional notes:

Stock taken for personal use $9,500

Bad debt written off $8,500

Discounts allowed $3,400

motor vehicle sale was at net book value

REQUIRED:

the trial balance, statement of profit or loss, and

statement of financial position for New day Traders for the period( include all workings for the statement of affairs and control accounts please

Answer 1

Trial balance

Debits. credits

Bank.144040

Motor vehicle 300000

Building. 340000

Stock 95600

Wages 66,000

Fixtures 210,000

Prepaid 7600

Purchase 32500

Debtors 82400

Commission 25000

Interest 2500

Rates 8500

General expense 11500

Total

Credit

Creditors 91030

Loan 116000

Commission pay. 25000

Wage owing 22000

Drawing 13200

Sales 170000

Owner equity

Profit and loss

Sales. 170,000

Add withdraw 9,500

Less discount. 3,400

Net sales. 176,100

Less cogs

Opening. 75500

Add purchase32500

Less closing 95600

12,400

Gross profit. 163,700

Less expenses

Wages 7500

Rent 8500

Commission 3500

General 11500

Interest 2500

Bad debt 8500. 42000

Profit before tax 121,700

Tax at .3. 36,510

Net income. 85,190

Statement of financial position

Assets.

Building 340,000

Prepaid 7600

Fixtures 210,000

Motor v.400,000

Stock 95,600

Debtors 82400

Bank 144,040

Total

Liability and equity

Wage payable 22,000

Commission pay.25,000

Loan 116,000

Creditors 91,030

Owner equity

Total