EXAM QUESTION

The trial balances in the image were extracted from Daisy Pte Ltd's books for the year ended 30 June 2022. (Please refer to the image for the trial balances).

Question a. Prepare the Income Statement for the year ended 30 June 2022.

Question b. Prepare the Statement of Financial Position as at 30 June 2022.

Additional information: i. Corporate tax is 15%. ii. The provision for allowance receivable was at 10% on account receivable.

iii. Telephone account outstanding $220.

iv. Closing inventory as at 30 June 2022 was $120,000.

v. Accrued salaries of $5,000

vi. Shop rental included a prepayment of $500.

vii. Depreciation is to be provided at 10% for the shop equipment.

viii. Depreciation is to be provided at 20% for the van.

Telephone expenses Irrecoverable debts Retained earnings Other receivables Account payable Return inwards Return outwards Opening inventory Salaries Sales Purchases Bank Shop rental Shop equipment at cost Van at cost Account receivable Ordinary share capital Debit $ 1,000 200 21,000 5,000 100,000 30,000 350,000 3,000 6,000 40,000 30,000 9,800 596,000 Credit 3,000 7,800 6,200 400,000 179,000 596,000