The following information has been extracted from the books of Ajala Ltd for the year ended...

  

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The following information has been extracted from the books of Ajala Ltd for the year ended 31 December, 2013 Administration expenses Interest paid for current year Distribution costs Called up share capital (Ordinary share@ GHe 1) Revenue Dividends paid Cash & cash equivalents Land. Cost on 1 Jan 2013 Buildings: Cost on 1 Jan 2013 Accumulated depreciation at 1 Jan 2013 Motor Vehicles: Cost on 1 Jan 2013 Accumulated depreciation at 1 Jan 2013 Accruals Income surplus 1 Jan 2013 Trade receivables Investment income Trade payables Inventory 1 Jan 2013 Purchases 15% loan Additional information i. Inventory at 31 Dec, 2013 was valued at Gittal O ii. Depreciation is on GH₂'000 1,510 150 2,450 860 1,120 3,800 2,500 4,000 7,500 2,850 6,900 33.640 GH ¹000 2,000 20,500 680 1,750 1,200 3,020 890 600 3,000 33.640 Additional information i. Inventory at 31 Dec, 2013 was valued at GH¢1,800,000 ii. Depreciation is on straight line basis (assuming no residual value) at the following rates: Buildings 10% Motor Vehicles 33.640 3,000 33.640 12.5% iii. GHe75,000 was owing for distribution expenses at 31³ Dec, 2013 iv. There are no purchases and sales of non-current assets for the year to 31* Dec, 2013 v. Income tax for the year to 31 Dec, 2013 is estimated at 25%. vi. No dividend was owing at the end of the year. vii. Part of interest for the year is outstanding at the end of the year. Required: Prepare in a form suitable for publication, a. the statement of comprehensive income and income surplus account for the year ended 31 December, 2013. (15 marks) b. the statement of changes in equity for the year ended 31 December, 2013. (10 marks) The following information has been extracted from the books of Ajala Ltd for the year ended 31 December, 2013 Administration expenses Interest paid for current year Distribution costs Called up share capital (Ordinary share@ GHe 1) Revenue Dividends paid Cash & cash equivalents Land. Cost on 1 Jan 2013 Buildings: Cost on 1 Jan 2013 Accumulated depreciation at 1 Jan 2013 Motor Vehicles: Cost on 1 Jan 2013 Accumulated depreciation at 1 Jan 2013 Accruals Income surplus 1 Jan 2013 Trade receivables Investment income Trade payables Inventory 1 Jan 2013 Purchases 15% loan Additional information i. Inventory at 31 Dec, 2013 was valued at Gittal O ii. Depreciation is on GH₂'000 1,510 150 2,450 860 1,120 3,800 2,500 4,000 7,500 2,850 6,900 33.640 GH ¹000 2,000 20,500 680 1,750 1,200 3,020 890 600 3,000 33.640 Additional information i. Inventory at 31 Dec, 2013 was valued at GH¢1,800,000 ii. Depreciation is on straight line basis (assuming no residual value) at the following rates: Buildings 10% Motor Vehicles 33.640 3,000 33.640 12.5% iii. GHe75,000 was owing for distribution expenses at 31³ Dec, 2013 iv. There are no purchases and sales of non-current assets for the year to 31* Dec, 2013 v. Income tax for the year to 31 Dec, 2013 is estimated at 25%. vi. No dividend was owing at the end of the year. vii. Part of interest for the year is outstanding at the end of the year. Required: Prepare in a form suitable for publication, a. the statement of comprehensive income and income surplus account for the year ended 31 December, 2013. (15 marks) b. the statement of changes in equity for the year ended 31 December, 2013. (10 marks)

Answer rating: 100% (QA)

a Statement of Comprehensive Income and Income Surplus Account Calculation of Gross Profit Revenue 20500000 Cost of Goods Sold 7950000 Gross Profit Re... View the full answer