On 1 January 20x3, these balances appeared in the books of the Stayfit Club: Listed below are the receipts and
On 1 January 20x3, these balances appeared in the books of the Stayfit Club:
Listed below are the receipts and payments for the year ended 31 December 20x3:
1. Entrance fees are to be posted to accumulated fund accounts.
2. Donations received may be used to cover running expenses.
• Inventory on hand, 31 December 20x3:
• Crockery is valued at R150 on 31 December 20x3.
• Equipment is to be depreciated by 20% per annum using the straight-line method.
• Unpaid membership subscription fees for 20x2 is to be written off as irrecoverable.
• Membership subscription fees in arrears for 20x3 amounted to R45.
• Interest on the loan from B. Samson is payable at 12% per annum.
You are required to:
1. Prepare a refreshments trading account and an income and expenditure account of the Stayfit Club for the year ended 31 December 20x3.
2. Prepare a statement of financial position as at 31 December 20x3.
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