N.B "this question is carrying a lot of marks so please make sure the correction"

Question 9 The following items have been extracted from the trial balance of Kyambogo and co Ltd as at 30th November 2016 Dr. $ Cr. $ Opening inventory 186,400 Purchases and sales 1,748,200 3,210,000 Carriage inwards 38,100 Carriage outwards 47,250 Sales and purchases returns 98,000 48,000 Trade receivables and payables 318,000 100,000 Repairs and maintenance 20,000 Sundry operating expenses 381,000 Wages and salaries 694,200 Opening allowances for doubtful debts 18,200 Bad debts written off during the year 14,680 Office equipment at cost-31 dec 2010 214,000 Accumulated depreciation Office equipment 88,700 Office equipment additions during the year 48,000 Postage and Telephone 33,870 Rent paid 12,000 Proceeds from sale of office equipment 12,600 Property rates paid 8,000 Freehold land 185,800 Share capital 600,000 91 Page Cleaning expenses 30,000 4,077,500 4,077,500 Additional information. 1. Closing inventory amounted to Shs 219,600 2.Prepayments and accruals Prepayments accruals Carriage inwards 2,000 Carriage outwards 1,200 Wages and salaries 1,000 5,800 Sundry operating expenses 4,900 13,600 Rates for property 3,000 3. Further bad debts for 800,000shs are to be written off and a closing allowance for doubtfull debts is to be equal to 5% of ht final trade receivables' figure 4.Office equipment is depreciated at 20% per annum on straight line basis with a full year charge of purchase and none in the year of disposal. Required. a. Prepare a statement of comprehensive income kyambogo for the year ended 30 November 2016 for presentation to Directors (10 marks) b. Prepare a financial statement position for Kyambogo for the year ended 30 November 2016 for presentation to Directors. (15 marks) Binkie Co has an item of land carried in its books at Ugx13,000,000. Two years ago a slump in land values led the company to reduce the carrying value fromUgx15,000,000. This was taken as an expense in profit or loss. There has been 10 Page a surge in land prices in the current year, however, and the land is now worth Ugx20,000,000 Required, Account for the revaluation in the current year. (8 marks) Crinckle Co bought an asset for Ugx10,000,000 at the beginning of 2016. It had a useful life of five years. On 1 January 2008 the asset was revalued to Ugx12,000,000. The expected useful life has remained unchanged. Required, Account for the revaluation and state the treatment for depreciation from 2008 onwards. (7 marks) Question 9 The following items have been extracted from the trial balance of Kyambogo and co Ltd as at 30th November 2016 Dr. $ Cr. $ Opening inventory 186,400 Purchases and sales 1,748,200 3,210,000 Carriage inwards 38,100 Carriage outwards 47,250 Sales and purchases returns 98,000 48,000 Trade receivables and payables 318,000 100,000 Repairs and maintenance 20,000 Sundry operating expenses 381,000 Wages and salaries 694,200 Opening allowances for doubtful debts 18,200 Bad debts written off during the year 14,680 Office equipment at cost-31 dec 2010 214,000 Accumulated depreciation Office equipment 88,700 Office equipment additions during the year 48,000 Postage and Telephone 33,870 Rent paid 12,000 Proceeds from sale of office equipment 12,600 Property rates paid 8,000 Freehold land 185,800 Share capital 600,000 91 Page Cleaning expenses 30,000 4,077,500 4,077,500 Additional information. 1. Closing inventory amounted to Shs 219,600 2.Prepayments and accruals Prepayments accruals Carriage inwards 2,000 Carriage outwards 1,200 Wages and salaries 1,000 5,800 Sundry operating expenses 4,900 13,600 Rates for property 3,000 3. Further bad debts for 800,000shs are to be written off and a closing allowance for doubtfull debts is to be equal to 5% of ht final trade receivables' figure 4.Office equipment is depreciated at 20% per annum on straight line basis with a full year charge of purchase and none in the year of disposal. Required. a. Prepare a statement of comprehensive income kyambogo for the year ended 30 November 2016 for presentation to Directors (10 marks) b. Prepare a financial statement position for Kyambogo for the year ended 30 November 2016 for presentation to Directors. (15 marks) Binkie Co has an item of land carried in its books at Ugx13,000,000. Two years ago a slump in land values led the company to reduce the carrying value fromUgx15,000,000. This was taken as an expense in profit or loss. There has been 10 Page a surge in land prices in the current year, however, and the land is now worth Ugx20,000,000 Required, Account for the revaluation in the current year. (8 marks) Crinckle Co bought an asset for Ugx10,000,000 at the beginning of 2016. It had a useful life of five years. On 1 January 2008 the asset was revalued to Ugx12,000,000. The expected useful life has remained unchanged. Required, Account for the revaluation and state the treatment for depreciation from 2008 onwards. (7 marks)