Information Technology And Business
SOLE TRADER FINAL ACCOUNTS
1 - T. Burton is a retailer whose Trial Balance a t 31 December 2003 is given below:
Dr Cr
$ $
Purchases and Sales 72 000 119 400
Returns 750
Carriage inwards 930
Wages and Salaries 27 670
General Expenses 4 750
Cash at Bank 4 210
Petty Cash 150
Premises 62 520
Fixtures and Fittings 9 000
Stock at 1 January 2003 5 550
Trade Debtors and Creditors 7 200 4 850
Motor Vehicle at cost 13 150
Provision for Depreciation on motor
vehicle at 1 January 2003 2 630
Capital at 1 January 2003 82 500
Drawings 3 000
______ ________
210 130 210 130
The following additional information is available:
1. Stock at 31 December 2003 was valued at $5200
2. General expenses of $400 have been paid for the year 2004.
3. A debt of $200 is to be written off as bad.
4. A provision is to be made for doubtful debts of 5% on Debtor at 31 December 2003.
5. Depreciation is to be provided for 2003 as f follows:
Fixtures and Fittings at 10% using the straight-line method:
Motor Vehicle at 20% using the reducing balance method.
a). Prepare Trading and Profit and Loss Accounts for the year ended 31 December2003. [12]
b) Prepare a Balance Sheet as at 31 December 2003 [11]
c) Another retailer finds that her gross profit for the financial year is 45%...
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