TRADING ACCOUNT POA SINGAPORE
Malright, a limited liability company, has an accounting year end of 31 October. The accountant is preparing the financial statements as at 31 October 20X7 and requires your assistance. The following trial balance has been extracted from the general ledger
The following additional information is also available:
– The allowance for receivables is to be increased to 5% of trade receivables. The allowance for receivables is treated as an administrative expense.
– Plant is depreciated at 20% per annum using the reducing balance method and buildings are depreciated at 5% per annum on their original cost. Depreciation is treated as a cost of sales expense.
– Closing inventory has been counted and is valued at $75,000.
– An invoice of $15,000 for energy costs relating to the quarter ended 30 November 20X7 was received on 2 December 20X7. Energy costs are included in administrative expenses.
Required:
Prepare the statement of profit or loss and the statement of financial position of Malright Co as at 31 October 20X7.
| Fixture and Fittings at cost: | ||
| Provision for Fixture and fittings : | (+ ) | |
| Net Fixture and fittings : | (- -) | |
| Motor Vehicle at cost: | ||
| Provision for Motor Vehicle : | (+) | |
| Net Motor Vehicle : | (- - ) | |
| Premises: | ||
| Fixed Assets: | ( +- - +- -) | |
| Debtors: | (-) | |
| Provision for doubtful debt: | ||
| Net Debtors: | ( -) | |
| Stock: | ||
| Prepayment : | ||
| Current Assets: | ( + + ) | |
| Total Assets: | ( + ) |
| Capital: | ||
| Less Drawings : | ( + ) | |
| Add Net Profit : | ||
| Total owner's equity: | ( - + ) | |
| Creditor: | ||
| Bank Overdraft: | ||
| Accrual: | ||
| Current Liabilities: | ( + + ) | |
| Total Liabilities and owner's equity: | ( + ) |
To do the same topic again in Trading Account POA Singapore
To do another topic in Principles of Accounts Singapore
