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Hi can please help me answer question (d where you must prepare the notes of the financial statements: *The statement of compliance note *The note
Hi can please help me answer question (d where you must prepare the notes of the financial statements:
*The statement of compliance note *The note supporting profit before tax *The dividend note
The information to answer the question is provided in pictures 1 and 2. Thank you
Nordic Limited is a company that sells a range of thermal and fleece clothing to retailers around the country. The company is listed on the Johannesburg Stock Exchange. You have been provided with the draft trial balance at 31 March 209, together with some additional information The draft trial balance of Nordic Limited at 31 March 209 is as follows: Additional information - The ordinary share capital consists of 2000000 shares of 0,50c par value. - The net realisable value of the inventory at the reporting date was estimated at C2 080000 . - The borrowings represent a loan of C900000, repayable in three equal annual instalments. The first instalment is due to be paid on 30 September 209. The existing loan agreement provides Nordic Limited with the option to refinance the first instalment for a further seven months and the directors exercised this option before the end of the current reporting period. - Nordic Limited classifies expenses according to their function. The financial director categorises the functions of the business into three areas, namely sales, distribution and administration. - The distribution department specially wraps all items in a protective wrapping before the items are shipped. The goods are transported by an independent road transport entity to the retailers. - The administrative department issue stationery, provide refreshments and are responsible for the cleaning of the head office. - The depreciation expense is allocated C50000 to distribution and C25 000 to administration. The salaries are allocated C250 000 to distribution and C450 000 to administration. The bad debts are a distribution expense and the donations are an administration expense. - The profit on sale of equipment and fittings relates to equipment used in the administration function. - The income tax expense has been correctly calculated at C180 000. - The dividend of C40000 shown on the trial balance represents the final dividend in respect of the year ended 31 March 20X8, declared on 20 April 20X8. A final dividend of C50 000 in respect of the year ended 31 March 209 was declared on 15 April 20X9. No interim dividends were declared. - There are no components of other comprehensive income. - The financial statements have not yet been authorised for issue. Required: a) Prepare the statement of profit or loss of Nordic Limited for the year ended 31 March 20X9 in conformity with International Financial Reporting Standards. b) Prepare the statement of changes in equity of Nordic Limited for the year ended 31 March 209 in conformity with International Financial Reporting Standards. c) Prepare the statement financial position of Nordic Limited at 31 March 209 in conformity with International Financial Reporting Standards d) Prepare the following notes to the financial statements of Nordic Limited for the year ended 31 March 20X9 in conformity with International Financial Reporting Standards: - The statement of compliance note. - The note supporting profit before tax - The dividend note Comparatives are not requiredStep by Step Solution
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