J. Hill has the following assets and liabilities on 30 November 2012: Accounts payable 2,800; Equipment 6,200;
Question:
J. Hill has the following assets and liabilities on 30 November 2012: Accounts payable £2,800; Equipment £6,200; Car £7,300; Inventory £8,100; Accounts receivable £4,050; Cash at bank £9,100; Cash in hand £195. You are not given the capital amount at that date. During the first week of December 2012
(a) Hill bought extra equipment on credit for £110.
(b) Hill bought extra inventory by cheque £380.
(c) Hill paid creditors by cheque £1,150.
(d) Debtors paid Hill £640 by cheque and £90 by cash.
(e) Hill put an extra £1,500 into the business, £1,300 by cheque and £200 in cash. You are to draw up a statement of financial position as at 7 December 2012 after the above transactions have been completed.
Step by Step Answer:
Frank Woods Business Accounting
ISBN: 9780273759287
12th Edition
Authors: Frank Wood. Sangster, Alan