The following statement of financial position has been drawn up for the directors of Gaurav plc as

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The following statement of financial position has been drawn up for the directors of Gaurav plc as at 31 March 2018.image text in transcribed

However, the following changes were made after the first draft of the balance sheet was drawn up:
1 An issue of 100,000 ordinary shares was made at a premium of £1 2 Money from the successful share issue was used as follows:

(a) The debenture was redeemed in full

(b) The tax owing was paid

(c) The bank overdraft was cleared 3 Freehold land was revalued to £900,000.
Redraft the statement of financial position after taking into account the above changes.

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Frank Woods Business Accounting Basics

ISBN: 9780273725008

1st Edition

Authors: Frank Wood, Mr David Horner

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