Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Bright Future Technologies Ltd started business on 1 January 2 0 2 3 with an initial capital of 2 0 , 0 0 0 in

Bright Future Technologies Ltd started business on 1 January 2023 with an initial capital of 20,000 in cash. During the first year of operation, the owner withdrew 25,000 for personal use. At the end of the year, on 31 December 2023, the company's financial statements showed the following figures: Equipment and vehicles: 70,000 Stock of raw materials: 15,000 Finished products (at cost): 10,000 Bank overdraft: 9,000 Creditors: 7,000 Prepaid insurance: 1,500 Debtors: 8,000 Allowance for doubtful debts: 1,000 Mortgage: 50,000 Accrued utility bills: 2,500 During the year, the revenue generated from sales amounted to 90,000. Calculate the profit made by Bright Future Technologies Ltd for the year ended 31 Jan 2023

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Advanced Operations Management

Authors: David Loader

2nd Edition

0470026545, 978-0470026540

More Books

Students also viewed these Accounting questions