Norman is preparing a profit and loss account for the year ended 31 December 20X0. The following payments and income appear as balances on their individual ledger accounts:

Required:

Prepare ledger accounts and balance off all relevant debtors and creditors. Assume no opening debtors and creditors; all adjustments to be calculated on a time basis. The rateable year runs from 6 April to 5 April (i.e. for accounts purposes April to March).

Transcribed Image Text:

Rent 300 Telephone 60 Rates 400 Insurance 100 Electricity 80 Rent receivable 500 Commission receivable 300 Rent is payable 100 per quarter in arrears. The last quarter's bill is outstanding. Rates of 200 were paid for a half-year from 1 October 20X0. Premium paid for year from 31 March 20X0. Last bill paid on 31 October 20X0. Rent receivable 100 per quarter in advance. Commission of 200 due from September to 31 December 20X0 not yet received.