Question

The following beginning balances are given for ATB Company at 01.01.2020.

Account Name	Amount (TL)
Cash	83.600
Banks	19.000
Checks	43.000
Accounts Receivable	56.000
Notes Receivable	67.400
Allowance for Uncollectible Accounts	16.000
Inventory	750.000
Prepaid Expenses - Rent	50.400
Accounts Payable	135.000
Notes Payable	152.600
Dividends	26.000
Tax payable	71.800
Bank Loan	228.000
Bonds Issued	230.000
Buildings	675.000
Furniture and fixture	250.000
Accumulated Depreciation - Buildings	30.000
Capital Stock	537.000
Unearned Revenue	110.000
Retained Earnings	510.000

Required:

1. Prepare the initial trial balance at 001.2020.

Propose a value for the accounts with a missing balance (marked with red) and/or add more accounts in order to make sure that the main accounting equation and the rule of totals for trial balance are applied.

2. Propose and journalize 10 business transactions for the company for the period 01.01.2020-31.01.2020. Indicate the transactions as a text/description and then record them into the journal and T-accounts.
3. Prepare the unadjusted trial balance at 31.01.2020.
4. Propose and journalize 10 adjusting entries for the company appropriate at 31.01.2020. Indicate the transactions as a text/description and then record them into the journal and T-accounts.
5. Prepare the adjusted trial balance at 31.01.2020.
6. Journalize the closing entries and make the necessary updates in the T-accounts.                  
7. Prepare the post-closing trial balance.                                                                                                                 
8. Prepare the statement of financial position at 31.01.2020. Use IFRS terminology and mandatory line items.
9. Prepare the income statement for the period 01.01.2020 - 31.01.2020. Use IFRS terminology and mandatory line items.
10. Prepare the cash-flow statement for the period 01.01.2020 - 31.01.2020, according to direct method.
11. Prepare the cash-flow statement for the period 01.01.2020 - 31.01.2020, according to indirect method.

WHAT İS İFRS ? İT REALLY HELPS ME A A LOT THANKS FOR YOUR CONCERN.

Answer 1

1) The initial trial balance at 001.2020.

In the Books of ABD

Trial Balance

For the month of Jan 2020

	Debit Side			Credit Side
Sr no	Particular	Amt	Sr no	Particular	Amt
1	Cash	83,600.00	1	Accounts Payble	1,35,000.00
2	Banks	19,000.00	2	Notes Payble	1,52,600.00
3	Accounts Receivables	56,000.00	3	Dividends	26,000.00
4	Cheques	43,000.00	4	Tax Payble	71,800.00
5	Inventory	7,50,000.00	5	Bank loan	2,28,000.00
6	Prepaid Expensess-Rent	50,400.00	6	Bonds Issued	2,30,000.00
7	Buillding	6,75,000.00	7	Accumalated Depreciation-Buillding	30,000.00
8	Furniture & Fixture	2,50,000.00	8	Unearned revenues	1,10,000.00
9	Allowances for uncontrollable accounts	16,000.00	9	Retained Earnings	5,10,000.00
10	Missing Balance	87,400.00	10	Captial Stock	5,37,000.00
	Grand Total	20,30,400.00			20,30,400.00

Note:- The missing balance marked with ...... which we have mentioned in the Red colour.

3)Unadjusted Trial Balance for the month of Jan 2020

In the Books of ABD

Trial Balance

For the month of Jan 2020

	Debit Side			Credit Side
Sr no	Particular	Amt	Sr no	Particular	Amt
1	Cash	83,600.00	1	Accounts Payble	1,35,000.00
2	Banks	19,000.00	2	Notes Payble	1,52,600.00
3	Accounts Receivables	56,000.00	3	Dividends	26,000.00
4	Cheques	43,000.00	4	Tax Payble	71,800.00
5	Inventory	7,50,000.00	5	Bank loan	2,28,000.00
6	Prepaid Expensess-Rent	50,400.00	6	Bonds Issued	2,30,000.00
7	Buillding	6,75,000.00	7	Accumalated Depreciation-Buillding	30,000.00
8	Furniture & Fixture	2,50,000.00	8	Unearned revenues	1,10,000.00
9	Allowances for uncontrollable accounts	16,000.00	9	Retained Earnings	5,10,000.00
			10	Captial Stock	5,37,000.00
	Grand Total	19,43,000.00			20,30,400.00

5) The adjusted trial balance at 31.01.2020.

In the Books of ABD

Trial Balance

AS ON 31.01.2020

	Debit Side			Credit Side
Sr no	Particular	Amt	Sr no	Particular	Amt
1	CASH	83.600	1	ALLOWANCE FOR BAD DEBT	16.000
2	BANKS	19.000	2	ACCOUNTS PAYABLE	135.000
3	CHECKS	43.000	3	NOTES PAYABLE	152.600
4	ACCOUNTS RECEIVABLES	56.000	4	TAX PAYABLE	71.800
5	NOTES RECEIVABLES	67.400	5	BANK LOAN	228.000
6	INVENTORY	750.000	6	BONDS ISSUED	230.000
7	PREPAID EXPENSES-RENT	50.400	7	ACCUMULATED DEP.-BUILDING	30.000
8	INVENTORY	750.000	8	CAPITAL STOCK	537.000
9	BUILDINGS	675.000	9	UNEARNED REVENUE	110.000
10	FURNITURE & FIXTURE	250.000	10	RETAINED EARNINGS	510.000
	Grand Total	20,20,400			20,20,400

8)  The statement of financial position at 31.01.2020.

ATP COMPANY STATEMENT OF FINANCIAL POSITION AS AT 31.01.2020
Particulars	Notes
Amount (TL)
NON CURRENT ASSETS
Property, plant and equipment and Investment Property	1	895,000
Goodwill
Advances for Capital Assets
Intangible assets
Investments
Investments in associates
Available for sale investments
Receivables and other non-current Assets
Deferred tax assets
TOTAL NON CURRENT ASSETS		895,000
CURRENT ASSETS
Inventories		750,000
Trade receivables	2	123,400
Other current assets		50,400
Income tax assets
Investments and financial receivables
Cash and cash equivalents	3	145,600
TOTAL CURRENT ASSETS		1,069,400
TOTAL ASSETS		1,964,400
SHAREHOLDERS' EQUITY
Share capital		537,000
Reserves
Retained earnings	4	484,000
TOTAL SHAREHOLDERS’ EQUITY		1,021,000
NON CURRENT LIABILITIES
Interest-bearing loans and short term borrowings	5	458,000
Employee benefits liabilities
Provisions		16,000
Deferred tax liabilities
TOTAL NON CURRENT LIABILITIES		474,000
CURRENT LIABILITIES
Banks overdrafts and short-term borrowings
Interest-bearing loans and short term borrowings
Trade payables	6	287,600
Provisions
Income tax liabilities		71,800
Other liabilities	7	110,000
TOTAL CURRENT LIABILITIES		469,400
TOTAL LIABILITIES		943,400
TOTAL SHAREHOLDERS’ EQUITY AND LIABILITIES		1,964,400

Notes to Accounts -
Note 1 - Property, plant and equipment and Investment Property
Particulars	Amount
Buildings	675,000
Less : Accumulated Depreciation	30,000
Furniture and Fixtures	250,000
	895,000
Note 2 - Trade Receivables
Particulars	Amount
Account Receivable	56,000
Notes Receivable	67,400
	123,400
Note 3 - Cash and cash equivalents
Particulars	Amount
Cash	83,600
Bank	19,000
Cheques	43,000
	145,600
Note 4 - Retained Earnings
Particulars	Amount
Opening Balance	510,000
Less : Dividend	26,000
	484,000
Note 5 - Interest-bearing loans and short term borrowings
Particulars	Amount
Bank Loan	228,000
Bonds Issued	230,000
	458,000
Note 6 - Trade payables
Particulars	Amount
Accounts Payable	135,000
Notes Payable	152,600
	287,600
Note 7 - Other Liabilities
Particulars	Amount
Unearned Revenue	110,000