The following records were obtained from the book of Jayeola Enterprises a sole trader who does not keep his account on double entry system. The following were the summary of his cash section during the period ended 31st December, 1997
Cash summary
Balance b/f 15330
Cash sales 74,760
Rent Received 21,700
Cash Received from debtors 214,585
Additional Capital 17,500
Cash purchases 28,490
Rates 5,740
Trade creditors 175,910
Wages and Salaries 29.120
Advertisement 9,870
General Expenses 25,445
Motor Car purchased 10,500
Drawings 12,600
Refund of loan 35,000
Interest on loan 2,100
Postage 525
Cash payment to Bank 7000
Balance c/d 1,575

343,875
343,875





The following assets and liabilities were recorded in the book of Jayeola a sole trader in the period under review.
1st January 199731st December, 1997
Land & Building 122500122500
Plant & Machinery 21,00018,550
Stock 21,98026005
Debtors 1382514245
Creditors 2786032550
Wages & Salaries outstanding 32202625
Rent Received in Advance14002380
Rates 8751260
Loan 42000--------

Additional information
i. Jayeola took goods costing NGN1, 750 for his personal use
ii. Discount allowed during the year totaled NGN4, 305 and Discount received NGN4, 760
iii. Depreciation on Motor vehicle to be 20% per annum on book value. The new motor vehicle was purchased on 1st October, 1997
iv. The following additional payments were made during the year directly from his bank account.
Transport NGN2, 800
Bank ChargesNGN1, 400
Insurance NGN2, 100
v. The bank balance at the end of the period amounted to NGN700
Required : Prepare the Trading, Profit & Loss Account and Balance sheet as at that date.

Answer rating: 100% (QA)

Solution Jayeola Enterprises Statement of Affairs as at 1st January 1997 Capital 127330 Loan 42000 Creditors 27860 Wages Salaries 3220 Rent Received i... View the full answer