In: Accounting
Question 2
The following trial balance was extracted from the books of R Giggs
at the close of business on 28 February 2007.
Dr Cr
RM RM
Purchases 92,800
Sales 157,165
Cash at bank 4,100
Cash in hand 324
Capital 11,400
Drawings 17,100
Office furniture 2,900
Rent 3,400
Wages and salaries 31,400
Discount received 160
Discount allowed 820
Accounts receivable 12,316
Accounts payable 5,245
Inventory 1/3/2006 4,120
Provision for doubtful debts 405
Motor vehicles 3,750
Motor expenses 615
Bad debts 730
174,375 174,375
Additional information:
1. Inventory as at 28/2/2007 was RM2,400.
2. Wages and salaries accrued at 28/2/2007 RM340.
3. Rent prepaid at 28/2/2007 RM230.
4. Motor expenses owing at 28/7/2007 RM72.
5. Increase in provision for doubtful debts by RM91.
6. Provide for depreciation as follows: office furniture RM380,
motor vehicles RM1,250.
Required:
Draw up the Income Statement (Profit and Loss) for the year ended
28/2/2007 together with a Financial Positions (Balance Sheet) as at
28/2/2007.
Question 2
The following trial balance was extracted from the books of R Giggs
at the close of business on 28 February 2007.
Dr Cr
RM RM
Purchases 92,800
Sales 157,165
Cash at bank 4,100
Cash in hand 324
Capital 11,400
Drawings 17,100
Office furniture 2,900
Rent 3,400
Wages and salaries 31,400
Discount received 160
Discount allowed 820
Accounts receivable 12,316
Accounts payable 5,245
Inventory 1/3/2006 4,120
Provision for doubtful debts 405
Motor vehicles 3,750
Motor expenses 615
Bad debts 730
174,375 174,375
Additional information:
1. Inventory as at 28/2/2007 was RM2,400.
2. Wages and salaries accrued at 28/2/2007 RM340.
3. Rent prepaid at 28/2/2007 RM230.
4. Motor expenses owing at 28/7/2007 RM72.
5. Increase in provision for doubtful debts by RM91.
6. Provide for depreciation as follows: office furniture RM380,
motor vehicles RM1,250.
Required:
Draw up the Income Statement (Profit and Loss) for the year ended
28/2/2007 together with a Financial Positions (Balance Sheet) as at
28/2/2007.
R Giggs | ||
Income Statement | ||
Year Ended 28/2/2007 | ||
Amount in RM | ||
Revenue: | ||
Sales | 157,165 | |
Discount Received | 160 | |
Total Revenue | 157,325 | |
Expenses: | ||
Cost of Goods sold ( 4,120 + 92,800 - 2,400 ) | 94,520 | |
Discount allowed | 820 | |
Rent Expense (3,400 - 230 ) | 3,170 | |
Wages & Salaries expense (31,400 + 340 ) | 31,740 | |
Motor expenses ( 615 + 72 ) | 687 | |
Depreciation Expense (380 + 1,250 ) | 1,630 | |
Bad Debts ( 730 + 91 ) | 821 | |
Net Income | 23,937 | |
R Giggs | ||
Financial Position as at 28/2/2007 | ||
Assets | Amount in RM | |
Non-current assets | ||
Office Furniture , Net of Depreciation (2,900 - 380 ) | 2,520 | |
Motor Vehicles , Net of Depreciation (3,750 - 1,250 ) | 2,500 | |
Current assets | ||
Cash at bank | 4,100 | |
Cash in hand | 324 | |
Accounts Receivables, net of provision for doubtful debt (12,316 - (405 + 91 ) ) | 11,820 | |
Inventory 28/2/2007 | 2,400 | |
Prepaid Rent | 230 | |
Total Assets | 23,894 | |
Owner's Equity & Liabilities | ||
Owner's Equity | ||
Capital ( 11,400 + 23,937 - 17,100 ) | 18,237 | |
Current Liabilities | ||
Accounts Payable | 5,245 | |
Motor expense payable | 72 | |
Wages & Salaries Payable | 340 | |
Total Owner's Equity & Liabilities | 23,894 | |