For each of the following questions Prepare the necessary journal entries for year ended 31 December 2018 Prepare the Income Statement ( Statement of Profit or Loss and Other Comprehensive Income ), classifying expenses by function, for the year ended 31 December 2018 Prepare the Statement of Changes in Equity for the year ended 31 December 2018 Prepare the Balance Sheet (Statement of Financial Position) as at 31 December 2018 Question 4 The following account balances are taken from the General Ledger of Golden Limited on 31 December 2018, the end of its fiscal year $ Accumulated Depreciation Equipment 42,000 Advertising Expense 47,100 Allowance for Bad Debts (credit balance) 3,300 Cash 79,300 Cost of Goods Sold 432,300 Equipment 220,600 Inventories 110,000 Loans Payable (due in 2020) 100,000 Office Rent Expense 90,000 Other operating Expenses 32,300 Prepaid Insurance 8,000 Retained Earnings 66,500 Sales 795,200 Share Capital, no par value 200,000 Tax Expense 5,200 Tax payable 5,200 Trade Creditors 57,000 Trade Debtors 127,200 Unearned Rent 15,000 Utilities Expenses 11,600 Wages Expense 120,600 Additional Information 1 The Prepaid Insurance is for equipment for the period October 2018 to February 2019 2 Included in equipment was $16,200 for equipment repairs that were erroneously recorded as equipment purchases The repairs were made on 1 December 2018 3 Depreciation for the equipment has not been provided The equipment has an estimated useful life of 8 years and $12,400 residual value and is depreciated on a straight line basis 4 Unearned Rent is for the period August 2018 to March 2019 5 Wages payable on 31 December $6,000 6 Tax payable at 31 December should be $3,000 7 The company had issued 10,000 shares (no par value) at $3 each in April 2018 The entries have been properly recorded 8 On 30 December 2018, the board of directors declared dividends of $8,000 9 The utilities expenses should be classified as administrative expenses The wages expenses should be allocated 40 to selling and distribution expenses and 60 to administrative expenses

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For each of the following questions:

Prepare the necessary journal entries for year-ended 31 December 2018.
Prepare the Income Statement (Statement of Profit or Loss and Other Comprehensive Income), classifying expenses by function, for the year ended 31 December 2018.
Prepare the Statement of Changes in Equity for the year ended 31 December 2018.
Prepare the Balance Sheet (Statement of Financial Position) as at 31 December 2018.

Question 4

The following account balances are taken from the General Ledger of Golden Limited on 31 December 2018, the end of its fiscal year.

	$
Accumulated Depreciation Equipment	42,000
Advertising Expense	47,100
Allowance for Bad Debts (credit balance)	3,300
Cash	79,300
Cost of Goods Sold	432,300
Equipment	220,600
Inventories	110,000
Loans Payable (due in 2020)	100,000
Office Rent Expense	90,000
Other operating Expenses	32,300
Prepaid Insurance	8,000
Retained Earnings	66,500
Sales	795,200
Share Capital, no par value	200,000
Tax Expense	5,200
Tax payable	5,200
Trade Creditors	57,000
Trade Debtors	127,200
Unearned Rent	15,000
Utilities Expenses	11,600
Wages Expense	120,600

Additional Information:

1.	The Prepaid Insurance is for equipment for the period October 2018 to February 2019.
2.	Included in equipment was $16,200 for equipment repairs that were erroneously recorded as equipment purchases. The repairs were made on 1 December 2018.
3.	Depreciation for the equipment has not been provided. The equipment has an estimated useful life of 8 years and $12,400 residual value and is depreciated on a straight-line basis.


4.	Unearned Rent is for the period August 2018 to March 2019.
5.	Wages payable on 31 December: $6,000.
6.	Tax payable at 31 December should be $3,000.
7.	The company had issued 10,000 shares (no par value) at $3 each in April 2018. The entries have been properly recorded.
8.	On 30 December 2018, the board of directors declared dividends of $8,000.
9.	The utilities expenses should be classified as administrative expenses. The wages expenses should be allocated 40% to selling and distribution expenses and 60% to administrative expenses.