Bunker plc is a trading company; it does not carry out any manufacturing operations. The following information
Question:
Bunker plc is a trading company; it does not carry out any manufacturing operations.
The following information has been extracted from the books of account for the year to 31 March 2010:
Additional information:
1 Depreciation policy:
Depreciation is provided at the following annual rates on a straight line basis: delivery vans 20%; office cars 7.5%; stores plant and equipment 10%.
2 The following taxation rates may be assumed:
corporation tax 35%; income tax 25%; value added tax 15%.
3 The investment income arises from investments held in non-current asset investments.
4 It has been decided to transfer an amount of £150,000 to the deferred taxation account.
5 There were 1,000,000 ordinary shares of £1 each in issue during the year to 31 March 2010. There were no preference shares in issue.
Required:
In so far as the information permits, prepare Bunker plc’s published income statement for the year ending 31 March 2010 in accordance with the minimum requirements of the related accounting standards.
Step by Step Answer:
Frank Woods Business Accounting Volume 2
ISBN: 9780273712138
11th Edition
Authors: Frank Wood, Alan Sangster