Alice Angle is an architect who set up her own on 1 March 2021. She supplied the
Question:
Alice Angle is an architect who set up her own on 1 March 2021. She supplied the following information about transactions for the first month ended 31 March 2021:
Required:
2.1 Process the above transactions through a table such as the one below. The
transaction of 1March 2021above is used as an example. Record amounts
without brackets to indicate an increase; amounts in brackets to indicate a
decrease; and 0 (a zero) for no effect.
2.2 Calculate the amount owing by clients at 31 March 2021. (1)
2.3 Will the amount owing by the clients be shown as a current or non-current asset.
Motivate your answer. (1)
2.4 Calculate the amount of interest payable on 1 April to Kind Bank. (2)
2.5 Name the source document that we would use to record the services rendered
to Alice Angle’s clients on credit. (1)
Financial Reporting and Analysis
ISBN: 978-0078025679
6th edition
Authors: Flawrence Revsine, Daniel Collins, Bruce, Mittelstaedt, Leon