The following list of transactions relates to the business of Electrical Retailers during the month of November.

Required:

(a) Make entries in a spreadsheet for the above transactions similar to that presented in Table 6.8 of Chapter 6.

(b) Using the information you have entered in the spreadsheet, prepare for the business in the month of November:

(i) a statement of cash flows;

(ii) a statement of profit or loss; 

(iii) a statement of financial position (balance sheet).

Electrical retailers: Use the following spreadsheet for analysis of the transactions

Transcribed Image Text:

Date Business transactions and events (wholesale trader) Nov. 1 2 4 6 7 11 14 17 17 17 24 28 The owner pays cash into a bank account for the business The business acquires buildings for cash The business acquires fixtures and fittings on credit The business purchases an inventory (stock of goods) for cash The business purchases an inventory (stock of goods) on credit from suppliers The business pays cash to suppliers for half the goods it acquired on credit The business pays a gas bill in cash Some of the goods purchased for resale (items costing 9,500) are removed from the store because sales have been agreed with customers for this date Out of the goods removed from store, the business sells some for cash Out of the goods removed from store, the business sells the remainder on credit to customers and sends invoices Cash is received from some of the credit customers The owner draws cash from the business for personal use Amount 45,000 30,000 22,000 10,000 9,000 4,500 600 9,500 8,000 15,500 9,300 3,500