The following balances were taken from the trial balance of G Northfield as at 31 December 2004.
Question:
The following balances were taken from the trial balance of G Northfield as at 31 December 2004. From this data, construct the manufacturing account and statement of comprehensive income for the year ended 31 December 2014.
Additional information:
1 Inventory as at 31 March 2014 was valued as follows:
2 Factory profit is calculated as 25% of production costs.
3 As at 31 March 2014:
Indirect wages accrued were £1,250 Rent and rates prepaid were £420 4 Heating and lighting was apportioned to the factory and the office in the ratio of 2:1 5 Rent and rates was apportioned to the factory and the office in the ratio of 3:2 6 Non-current assets were to be depreciated as follows:
Machinery: 15% on cost Equipment: 20% using reducing balance.
Step by Step Answer:
Frank Woods Business Accounting Basics
ISBN: 9780273725008
1st Edition
Authors: Frank Wood, Mr David Horner