AK Limited provided the following information:

On 30 April 20–5 the directors decided to:

• Transfer 17,500 to general reserve
• Proposed an final ordinary share dividend of 3%.

Additional information at 30 April 20–5:
                                                                                                                          $
Premises at cost ................................................................                  425,000
Equipment at cost ............................................................                   124,000
Motor vehicles at cost ......................................................                     80,000
Provision for depreciation of equipment ............................               93,000
Provision for depreciation of motor vehicles .........................            25,000
Trade payables ...........................................................................            38,700
Trade receivables ........................................................................           32,000
Other payables .........................................................................                   770
Other receivables ..............................................................................       1,520
Provision for doubtful debts ............................................................          800
5% debentures ...................................................................................     30,000
Balance at bank .................................................................................      15,000
Inventory ............................................................................................      35,750

a. Prepare the statement of changes in equity for the year ended 30 April 20–5.
b. Prepare the statement of financial position at 30 April 20–5.

Transcribed Image Text:

On 1 May 20-4: Ordinary share capital 400 000 General reserve 20000 Retained earnings 51500 On 1 August 20-4 the final ordinary share for the year ended 30 April 20-4 was paid 16000 On 1 November 20-4 an interim ordinary share dividend for the year ended 30 April 20-5 was paid 10000 Profit for the year ended 30 April 20-5 79500 %i4