Jons/AnnotationApp.aspx?Annotation AccessArea=18AnnotationOfUserid=0&IsReadOnly-True&Learning Objectid=308209428&Learning Objectinstanceld=439433987&MobileBrowser-NotDelined Source Section A Answer ALL questions. This section carries 35 marks. Question A1 The Balances for Gerrard and Family, a successful trading business, for year ended 31st December 2021 are set out below 250,000 300,000 30,000 55,000 40,000 Buildings Plant and Equipment Fixtures Vehicles Accumulated Depreciation (1-1-21) Buildings Plant and Equipment Fixtures Vehicles Purchases Sales Revenue Purchase Returns Carriage In Inventory (1-1-21) Salaries Vehicle Expenses Electricity Electricity Owing (1-1-21) Irrecoverable Debts Allowance for Receivables Accounts Receivable Recovered Debts Accounts Payable Loan [5%) Drawings Bank [Debit Balance) Capital 120,000 3,000 11,000 85,000 220,000 300 900 69,000 30,000 3,100 4,500 700 1,700 400 35,000 100 12,900 220,000 26,000 10,500 271,300 IDBFN001 Financial Accounting 1 Notes: 1. Buildings are on a 50-year lease and are amortised (depreciated) accordingly each year. 2. Inventory at 31st December 2021 was valued at 72,900. 3. Salaries are constant at 2,500 per month. 4. Plant and Equipment is depreciated at 10% straight line and Fixtures at 10% reducing balance. 5. Vehicles are depreciated at 20% straight line. On 1st November 2021 Gerrard disposed of a vehicle acquired in 2019 for 5,000. Sale proceeds were 1,000. (Note, no depreciation is charged on assets in the year of disposal and none of the transactions relating to the disposal have been recorded) 6. Gerrard is due to pay Commission of 1% on all sales for the year. 7. The Receivables profile is aging which means that Gerrard believes the Allowance for Receivables should be increased to 600. 8. Gerrard has a year-end electricity bill unpaid of 500. 9. The loan interest is outstanding at the year end. Required: [35] Prepare Gerrard and Family's Statement of Profit or Loss for year ended 31st December 2021 and a Statement of Financial Position as at that date. Jons/AnnotationApp.aspx?Annotation AccessArea=18AnnotationOfUserid=0&IsReadOnly-True&Learning Objectid=308209428&Learning Objectinstanceld=439433987&MobileBrowser-NotDelined Source Section A Answer ALL questions. This section carries 35 marks. Question A1 The Balances for Gerrard and Family, a successful trading business, for year ended 31st December 2021 are set out below 250,000 300,000 30,000 55,000 40,000 Buildings Plant and Equipment Fixtures Vehicles Accumulated Depreciation (1-1-21) Buildings Plant and Equipment Fixtures Vehicles Purchases Sales Revenue Purchase Returns Carriage In Inventory (1-1-21) Salaries Vehicle Expenses Electricity Electricity Owing (1-1-21) Irrecoverable Debts Allowance for Receivables Accounts Receivable Recovered Debts Accounts Payable Loan [5%) Drawings Bank [Debit Balance) Capital 120,000 3,000 11,000 85,000 220,000 300 900 69,000 30,000 3,100 4,500 700 1,700 400 35,000 100 12,900 220,000 26,000 10,500 271,300 IDBFN001 Financial Accounting 1 Notes: 1. Buildings are on a 50-year lease and are amortised (depreciated) accordingly each year. 2. Inventory at 31st December 2021 was valued at 72,900. 3. Salaries are constant at 2,500 per month. 4. Plant and Equipment is depreciated at 10% straight line and Fixtures at 10% reducing balance. 5. Vehicles are depreciated at 20% straight line. On 1st November 2021 Gerrard disposed of a vehicle acquired in 2019 for 5,000. Sale proceeds were 1,000. (Note, no depreciation is charged on assets in the year of disposal and none of the transactions relating to the disposal have been recorded) 6. Gerrard is due to pay Commission of 1% on all sales for the year. 7. The Receivables profile is aging which means that Gerrard believes the Allowance for Receivables should be increased to 600. 8. Gerrard has a year-end electricity bill unpaid of 500. 9. The loan interest is outstanding at the year end. Required: [35] Prepare Gerrard and Family's Statement of Profit or Loss for year ended 31st December 2021 and a Statement of Financial Position as at that date