create FINANCIAL STATEMENT $($RM$)$ FOR Threads & Co$.$ CLOTHING STORE..

INSTRUCTION

As an accounting student, you should be able to identify, processing and communicate the financial information to the users. In every accounting cycle, financial statements are the final accounting process in delivering the information to the users, especially the external users.

This is a group assignment consisting of SIX $(6)$ students in each group. You are required to create a company and prepare the financial statements that meet the following requirements:

a$)$ At least $5$ expenses activities

b$)$ At least $5$ indirect revenues

c$)$ At least $1$ discount received

d$)$ At least $1$ discount given

e$)$ At least $2$ accrued transactions

f$)$ At least $2$ prepaid transactions

g$)$ At least $4$ fixed assets

h$)$ At least $2$ current assets

i$)$ At least $2$ non$-$current liabilities

j$)$ At least $3$ current liabilities

k$)$ At least $2$ accumulated depreciations $(1$ straight line method, $1$ reducing balance method$)$

l$)$ At least $1$ return inward and outward

In order to complete the financial statements, you may add transactions that are necessary in producing profit or loss and completing the statements $($Eg: Sales, Purchase, Equity$).$

Required:

$1.$ Create the company background $($Eg: Brief history, business activity, organization$).$

$2.$ Prepare the following based on your company$$s transactions:

i$.$ Journal entries, ii$.$Ledger

iii. Trial balance

iv$.$ Statement of comprehensive income

v$.$ Statement of financial position