Question
Question 2: From the following account balances to 30 June 2020 prepare a statement of financial position in the narrative classified format. Note : you
Question 2: From the following account balances to 30 June 2020 prepare a statement of financial position in the narrative classified format. Note: you will need to determine the balance of the retained earnings. (20 Marks)
| Type of Account | $ |
| Accounts Receivable | 46500 |
| Provisions | 50000 |
| Prepayments | 1200 |
| Sales Revenue | 455000 |
| Plant and Equipment | 220000 |
| Other Current Assets | 11000 |
| Borrowings | 120000 |
| Interest on Borrowings E | 6000 |
| Accumulated Depreciation | 48500 |
| Accounts Payable | 26000 |
| Share Capital | 450000 |
| Land and Buildings | 339000 |
| Inventory | 78000 |
| Two Year Term Deposit | 98500 |
| Cash at Bank | 32000 |
| Retained Earnings | ? |
| Salaries expense | 215000 |
| Salaries Accrued | 12500 |
| Insurance Expense | 9000 |
| Annual Depreciation | 22000 |
| Utilities Expense | 8500 |
| Selling Expenses | 25000 |
Question 3: From the accounts in question 2 above prepare a statement of profit or loss position for the period ended 30 June 2020.
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Intermediate Accounting
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Nicola M. Young, Irene M. Wiecek, Bruce J. McConomy
11th Canadian edition Volume 1
978-1119048534
