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Builders warehouse has produced the following trial balance as at 31 Dec 2020. Debit ($) '000 Credit ($)'000 Capital - Share 75,000 Trade and other
Builders warehouse has produced the following trial balance as at 31 Dec 2020. Debit ($) '000 Credit ($)'000 Capital - Share 75,000 Trade and other payables 15,340 Property, plant and equipment -cost 335,853 Accumulated Depreciation on PPE at 31 Dec 2020 38,755 Trade and other receivables 132,555 Accruals 5,608 8% Bank loan1 28,000 Cash at Bank 215,865 Retained earning 1 Nov 2019 32,755 Interest 5120 Revenue 575,382 Purchases 122,900 00 Eff Date: 18-03-20 21 Distribution costs 12,800 Administrative expenses 10,554 Inventories as at 1 Jan 2021 18,945 Dividend paid 16,248 TOTAL 870,840 870,840 Additional Information . QPASM-001 Rev 006 The inventories at the close of business on 31 Dec 2020 were valued at $19,300,000, goods included in this total at a value of $ 2,425,000 were found to be damaged and were sold for $1,200,000. . Land which is non-depreciable, is included in the trial balance at a value of $24,900,000 in the financial statements for the year ended 31 Dec 2020. It is to be revalued at $38,750,000 and this revaluation is to be included in the financial statements for the year ended 31 Dec 2020. . The company paid $1,275,000 for one year's insurance on 1 April 2020, this is due to expire on 31 Mar 2021. Insurance is included in administrative expenses. Page 2 of 3 Distribution costs of $942,000 owing at 31 Dec 2020 are to be accrued. Interest on the bank loan for the last six months of the year has not been included in the accounts in the trial balance. The tax charge for the year has been calculated as $1,875,000 Required: a. Prepare the statement of profit or loss and other comprehensive income for the year ended 31 Dec 2020. (9 marks) b. Construct the statement of financial position for the year ended 31 December 2020. marks) (16
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