Posvibes has just completed it's first six-month trading period. The company train many of the top...

 

Transcribed Image Text:

Posvibes has just completed it's first six-month trading period. The company train many of the top FTSE 100 UK companies on how to maximise the efficiency of their staff. Details for the trading period, June 1st to November 30th 2022, are as follows Revenue Month June July August September October November Number of Training Days 18 20 21 22 24 26 The company charges clients £2,000 per training day. Each month, half of the training days were paid in cash and the other half on one month credit terms. Expenses Staff wages were £13,000 each month, paid the month after they were incurred as an expense. Posvibes paid £30,000 on 1st June 2022 to lease office space until 31st May 2024. Sundry other expenses of £2,500 were paid EACH month. On 1st June 2022, Posvibes purchased, in cash, £28,000 of training equipment which they expect to last them for four years. Tax Posvibes have provided for a £35,000 tax bill for the six month period. Financing Four investors each bought £18,000 of 80p ordinary shares to finance Posvibes. The company paid a 12p interim dividend per share on 30th September 2022 and proposed a final dividend on 30th November 2022 of 30 per share. Required a) Prepare an income statement for Posvibes for the six month period, 1st June 2022 to 30th November 2022 50% weighting b) Prepare a balance sheet for Posvibes as at 30th November 2022 50% weighting Posvibes has just completed it's first six-month trading period. The company train many of the top FTSE 100 UK companies on how to maximise the efficiency of their staff. Details for the trading period, June 1st to November 30th 2022, are as follows Revenue Month June July August September October November Number of Training Days 18 20 21 22 24 26 The company charges clients £2,000 per training day. Each month, half of the training days were paid in cash and the other half on one month credit terms. Expenses Staff wages were £13,000 each month, paid the month after they were incurred as an expense. Posvibes paid £30,000 on 1st June 2022 to lease office space until 31st May 2024. Sundry other expenses of £2,500 were paid EACH month. On 1st June 2022, Posvibes purchased, in cash, £28,000 of training equipment which they expect to last them for four years. Tax Posvibes have provided for a £35,000 tax bill for the six month period. Financing Four investors each bought £18,000 of 80p ordinary shares to finance Posvibes. The company paid a 12p interim dividend per share on 30th September 2022 and proposed a final dividend on 30th November 2022 of 30 per share. Required a) Prepare an income statement for Posvibes for the six month period, 1st June 2022 to 30th November 2022 50% weighting b) Prepare a balance sheet for Posvibes as at 30th November 2022 50% weighting

Answer rating: 100% (QA)

You have provided a scenario for a company named Posvibes and the financial data related to its first sixmonth trading period The details include reve... View the full answer