Imogen runs the Manor Park Hotel in Powys, Wales. She purchased the 50-bedroom hotel 10 years ago. She is wondering if the business is trading as well as it could be and would like a report stating how we feel things are. The Trial Balance as of 31 December 2022 is as below:

  
 

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Telephone Insurance Sales (accommodation, food & liquor) Laundry & cleaning Gas & Electricity Salaries Business rates Wages Other direct labour expenses Purchases (food & liquor) General expenses Opening inventory of food & liquor Drawings Freehold Land at cost Equipment at cost Furniture and fittings at cost China, Cutlery etc at cost Loan from Virgin Money bank (expires 2032) Accounts receivable Accounts payable Owners Capital Cash at Bank Depreciation of equipment at 1/1/22 Depreciation of Furniture and fittings at 1/1/22 £ 31,780 11,200 4,800 15,600 78,460 21,000 196,000 24,000 74,130 73,000 8,000 180,000 790,000 224,375 197,500 8,160 35,000 97,000 £ 955,330 705,600 18,700 266,000 84,875 39,500 2,070,005 2,070,005 Telephone Insurance Sales (accommodation, food & liquor) Laundry & cleaning Gas & Electricity Salaries Business rates Wages Other direct labour expenses Purchases (food & liquor) General expenses Opening inventory of food & liquor Drawings Freehold Land at cost Equipment at cost Furniture and fittings at cost China, Cutlery etc at cost Loan from Virgin Money bank (expires 2032) Accounts receivable Accounts payable Owners Capital Cash at Bank Depreciation of equipment at 1/1/22 Depreciation of Furniture and fittings at 1/1/22 £ 31,780 11,200 4,800 15,600 78,460 21,000 196,000 24,000 74,130 73,000 8,000 180,000 790,000 224,375 197,500 8,160 35,000 97,000 £ 955,330 705,600 18,700 266,000 84,875 39,500 2,070,005 2,070,005

Answer rating: 100% (QA)

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