As a Financial Reporting Controlling Analyst of Steel Co you are provided with the following list of account balances as at 31 December 2021 and you shall prepare the Statement of profit or loss and other comprehensive income and the Statement of Financial Position at 31 December 2021 50c ordinary shares (fully paid) 450 000 10 loan notes (secured) 200 000 Retained Earnings 1 1 21 77 000 Other component of equity 1 1 21 171 000 Land and buildings 1 1 21 430 000 Plant and machinery 1 1 21 830 000 Accumulated depreciation Building 1 1 21 20 000 Plant and machinery 1 1 21 222 000 Inventory 1 1 21 190 000 Sales 2 695 000 Purchases 2 152 000 Ordinary dividend 15 000 Loan note interest 10 000 Wages and salaries 254 000 Light and heat 31 000 Sundry expenses 113 000 Trade accounts receivable 179 000 Trade accounts payable 195 000 Cash 126 000 Notes Sundry expenses include 9 000 paid in respect of insurance for the year ending 1 September 2022 Light and heat does not include an invoice of 3 000 for electricity for the three months ending 2 January 2021, which was paid in February 2021 Steel Co acquired the property some years ago The building element of the cost was estimated at 100 000 and the estimated useful life of the assets was 50 years at the time of purchase As at 31 December 2021 the property is to be revalued at 800 000 Steel Co sold one of its plants whose cost was at 350 000 and its carrying amount was at 274 000 as on 1 1 21 36 000 depreciation is to be charged on plant and machinery for 2021 Proceeds from the sale of plant was 300 000 The management informs you to provide for Loan note interest due A transfer to other components of equity of 16 000 Audit fees of 4 000 Inventory as at 31 December 2021 was valued at 220 000 Taxation is to be ignored

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Posted on Jan 16, 2022

As a Financial Reporting Controlling Analyst of Steel Co you are provided with the following list of account balances as at 31 December 2021 and

As a Financial Reporting Controlling Analyst of Steel Co you are provided with the following list of account balances as at 31 December 2021 and you shall prepare the Statement of profit or loss and other comprehensive income and the Statement of Financial Position at 31 December 2021.

50c ordinary shares (fully paid) 450.000

10% loan notes (secured) 200.000

Retained Earnings 1.1.21 77.000

Other component of equity 1.1.21 171.000

Land and buildings 1.1.21 430.000

Plant and machinery 1.1.21 830.000

Accumulated depreciation

Building 1.1.21 20.000

Plant and machinery 1.1.21 222.000

Inventory 1.1.21 190.000

Sales 2.695.000

Purchases 2.152.000

Ordinary dividend 15.000

Loan note interest 10.000

Wages and salaries 254.000

Light and heat 31.000

Sundry expenses 113.000

Trade accounts receivable 179.000

Trade accounts payable 195.000

Cash 126.000

Notes

Sundry expenses include €9.000 paid in respect of insurance for the year ending 1 September 2022. Light and heat does not include an invoice of €3.000 for electricity for the three months ending 2 January 2021, which was paid in February 2021.
Steel Co acquired the property some years ago. The building element of the cost was estimated at €100.000 and the estimated useful life of the assets was 50 years at the time of purchase. As at 31. December 2021 the property is to be revalued at €800.000.
Steel Co sold one of its plants whose cost was at €350.000 and its carrying amount was at €274.000 as on 1.1.21. €36.000 depreciation is to be charged on plant and machinery for 2021. Proceeds from the sale of plant was 300.000.
The management informs you to provide for: