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1 From the following are details from Eddie- Phantomas Enterprise for the year 2019. GH GH Sales: Department A: 108,000 Department B: 72,000 Capital 102,000

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From the following are details from Eddie-Phantomas Enterprise for the year 2019.

GH GH

Sales: Department A: 108,000

Department B: 72,000

Capital 102,000

Opening inventory: Department A 4,000

Department B 2,000

Purchases: Department A 60,000

Department B 40,000

Wages: Department A 6,000

Department B 8,000

Carriage outwards 800

Advertising 1,000

Machinery: Department A 50,000

Department B 30,000

Repairs to machinery 4,000

Insurance on machinery 1,200

Printing and postage 200

Office expenses 3,000

Rent and rates 2,800

Carriage inwards: Department A 600

Department B 600

Salaries: Department A 4,000

Department B 2,000

Drawings 6,000

Cash at hand 4,000

Cash at bank 12,600

Sundry payables 8,000

Light and heat 1,400

Furniture and fittings: Department A 1,600

Department B 1,200

Sundry receivables 1,000

Building 42,000 .

290,000 290,000

Additional Information:

Inventory as at 31st December 2019: Department A GH4,600, Department B GH3,200
Office expense and printing to be charged equally to both departments
Building area occupied by department A and B is in the proportion of 5:2
Depreciation of machinery, furniture and fitting is at 10% and building is 5%
Provision for doubtful debt is 5% of account receivables figure

Required:

a. Prepare the departmental income statement for the year ended 31stDecember, 2019
b. Prepare statement of financial position as at 31st December, 2019

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