Write up the following accounts clearly showing the amount for the income statement selling expenses travelling expenses
Question:
- Write up the following accounts clearly showing the amount for the income statement
- selling expenses
- travelling expenses
- rental income
- club members fees
- The following data was obtained from the books of Lena Horne for the month of
- Mandrake is a business operator in Portmore. The following data was obtained for the year 2015
- Machinery with book value of 140, 000 was sold for 158,000
- New machinery was purchased for $350,000
- Motor vehicle with book value of 120,000 was sold for 105,000
- New motor vehicle was purchased for 300,000
- Write up the Machinery and Motor vehicle accounts for the year, clearly showing the amount for depreciation
- Write up the Machinery and the Motor Vehicle Disposal accounts indicating whether there was a gain or or a loss on the sale of each asset
- Machinery with book value of 60 000 was sold for a profit of 15.000
- Write up the Machinery and Motor vehicle accounts for the year, clearly showing the amount that was purchased during the year
- Write up the Machinery and the Motor Vehicle Disposal accounts indicating the selling price for each asset
- Richard Holmes is a trader in elegant office décor. The following data was available for 2017 :
- Stock of good 145,600
- Debtors 120,000
- Creditors 85,200
- Cash sales 450,000
- Cash Purchases 345,000
- Amount received from debtors 220,000
- Amount paid to creditors 140,000
- Debtors 230,000
- Creditors 175,000
- Determine the amount for total sales and total purchases
- What was the full value of the closing stock ?
- What was the value of the stock that was destroyed in the fire?
- The Magnovax is a retail trader in St. Ann’s Bay. The firm has provided the following accounts details for 2015
June 2016
Balance b/d at the start of the month
$ $
Accounts Receivable Ledger Dr 87,560 Cr 950
Accounts Payable Ledger Dr 660 Cr 95,750
Transactions for the month
$
Cash purchases 37,770
Cash sales 47,950
Credit purchases 98,650
Credit sales 125,550
Set off 3,500
Bad debts written off 5,500
Total receipts from all customers 99,800
Total payments to all suppliers 64,600
Dishonoured cheques from cr customers 3,850
Refunds to cash customers 3,100
Return outwards to cr. suppliers 14,750
Discount allowed 2,750
Bad debts recovered 4,960
Return inwards by cr. customers 2,700
Increase in the provision for bad debts 2,500
Interest charged on cr. customer overdue acc 1,900
Interest charged by credit suppliers 14,440
Discount received 8,770
Balance c/d at the end of the month
$ $
Accounts Receivable Ledger Dr 1,555 Cr ?
Accounts Payable Ledger Dr ? Cr 880
Required : Prepare the SLCA and the PLCA for the month
Non-current Assets January December
Machinery at book value 650,000 840,000
Motor Vehicle at book value 600,000 740,000
Transactions during the year
Required
4 The Proctor is a business operation in Falmouth. The following data was obtained for
the year 2015
Non-current Assets January December
Machinery at book value 720,000 940,000
Motor Vehicle at book value 690,000 920,000
Transactions during the year
ii) Motor Vehicle with book value of 90,000 was sold at a loss of $12,000
iii) Depreciation charges for the year was : Machinery 42,000, Motor Vehicle 35,000
Required
c. Single Entry
At Start of the year
During the year
At the end of the year
At the end of the year a fire destroyed a portion of the closing stock. The amount saved was valued at 90,000. The company operates with a mark up of 33.33 %
Required
Cashbook
Commission | 95,000 | Bal b/d | 120,000 | |
Receipt from debtors | 65,000 | Loan repayment | 25,000 | |
Cash Sales | 140,000 | Payment to creditors | 62,500 | |
Bal c/d | 86,500 | Cash purchases | 32,000 | |
Wages | 55,000 | |||
Rent | 20,000 | |||
Rates | 15,000 | |||
Machinery & equipment | 20,000 | |||
Drawings | 15,000 | |||
Admin expenses | 22,000 | |||
386500 | 386500 | |||
List of Balances
DETAILS | Jan-01 | Dec-31 |
Motor vehicle | 280,000 | 275,000 |
Machinery & equipment | 150,000 | 166,000 |
Debtors | 14,300 | 21,000 |
Creditors | 6,400 | 8,500 |
Rent owing | 8,500 | 7,000 |
Rates prepaid | 6,500 | 2,500 |
Stock | 18,500 | 21,000 |
Loan | 100,000 | 75,000 |
Additional Notes
i. Stock taken for personal use amounted to 8,500
ii. Amounts written off as bad debts totaled 5,500
Required
a) Determine the amount for capital as at January 1, 2015
b) Show the relevant workings leading to the Trial Balance as at December 31, 2015
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill