THE FOLLOWING INFORMATION WAS OBTAINED FROM THE BOOKS OF CXY COMPANY

I. AUTHORIZED SHARE CAPITAL $650000

II.$400,000 $1 ORDINARY SHARES FULLY PAID

III.$100,000 AT 8% PREFERENCE SHARES FULLY PAID

IV.THE PROFIT AND LOSS FOR 2008 WAS $65000 WHILE RETAINED PROFIT FOR 2007 WAS $20,000

THE COMPANY DIRECTOR HAVE PROPOSED THE FOLLOWING:

1.PAY THE PREFERENCE SHARE DIVIDENDS

2.PAY AN ORDINARY DIVIDENDS OF 7.5%

3.TRANSFER $15000 TO THE GENERAL RESERVE

4.CREATE A FIXED ASSETS REPLACEMENT RESERVED OF 20000

REQUIRED:PROFIT AND LOSS APPROPRIATION ACCOUNT FOR 2008

Answer rating: 100% (QA)

CXY Company Profit and Loss Appropriation Account for the year ended 2008 ParticularsAmount TZS To ... View the full answer