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please solve this requirment Success Limited is a retailer of Kitchenware. Most goods it trades are purchased from various suppliers in a finished form. In
please solve this requirment
Success Limited is a retailer of Kitchenware. Most goods it trades are purchased from various suppliers in a finished form. In addition, the company manufactures several types of kentles The bookkeeper drew up the following trial balance 30 April 1996: 200.000 23.000 164,000 120.000 400.000 100.000 Ordinary share capital of $1 cach General reserve Retained profits 15% long-term lixan Machinery-at cost - accumulated depreciation as at 1 May 1995 Motor vehicles -at cost Stocks at 1 May 1995 Raw materials Manufactured goods Other goods Debtes Creditors Bank 160,000 20.000 10,000 170.000 160,000 48.000 50.000 2,200,000 +30.000 1.150.000 257,000 Purchases - Raw materials - Other goods Salaries Rent and rales Electricity Interest on loan Sundry expenses 22000 10.500 9.000 7,100 2.855,600 2.855,600 Additional information: Depreciation is to be provided using the reducing balance method at the following rates: Motor vehicles - 12.5% per annum Machinery - 10% per annum The motor vehicle was purchased in 1996. It is the company's policy to charge full rear's depreciation in the year of acquisition ii) Salaries include wages of $54,000 paid to the kettle-making employees. (iii) Rates prepaid at 30 April 1996 amounted to 52.000. (iv) Accruals at 30 April 1996 were: Electricity S1,500 v The apportionment of rent and rates and electricity to the kettle-making department is 25% (vi) Stocks at 30 April 1996 were: Raw materials 40.000 Manufactured goods 12 500 Other goods 215,000 (vii) The directors proposed to transfer 440,000 of the profits to general reserve and to declare a final dividend of $0.50 per share. (a) a manufacturing, trading and profit and loss account with the section on appropriations) for the year ended 30 April 1996: and marks) (b) a balance sheet (7 marks)Step by Step Solution
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