Question 2 The trial balance below relates to Kelewele Commercial Bank as at 31" December, 2017 DE CE GHC GHC Interest income 4,950 Interest on customers' deposits Net fees and commission income Gains on foreign currency Dividend income Operating expenses Directors smolument Auditors fees Dividend paid (Note 6 ) Loan impairment provision as at 1 Jan 2017 (Note 4) Rental income from investment property (Note 3) Corporate current tax Income surplus as at 1 Jan 2017 Capital surplus as at 1 Jan 2017 Statutory reserve as at 1 Jan 2017 Stated capital (50.000 equity shares) as at 1 Jan 2017 Cash on hand 340 Balance with the Bank of Ghana 3.050 Investment in government securities 10000 Investment in listed financial institutions 160 Receivables from other banks 1.610 Payables to other hanks Overdraft, loans and advances 15.700 Sunday receivables and prepayments 500 Property, plant and equipment 1.240 Accumulated depreciation of PPE as at 1 Jan 2017 (Note 1) 300 Investment property (Note 3) 240 Customers' deposits Expense trade payables and accruals Total 37.170 37,170 Notes 1. Property, plant and equipment as at 31 December, 2016 was as follows: Cost Acc. dep Rate of depreciation GHCOCO GHC00D GHC000 Land and building 450 0 20% straight line per annum Equipment 750 200 25% straight per annum Motor vehicles 40 20 25% per annum line 24550 The value of land and building at acquisition was GHC450,000 (land C50,000 and building C400,000) on 1" January, 2016. The company policy on depreciation does not cover land. The directors caused the property (land and building) to be revalued in 14 January, 2017 The valuers assigned value of GHC400,000 for both land and building but advised that the estimated remaining useful life should be maintained. The directors wish to incorporate this valuation in 2017 financial statement. 2. There was neither tax liability nor current tax asset as at 1" January, 2017. During 2017, the company paid GHC100,000 for corporate tax on interim assessment. The bank is subject to 20% corporate tax. The company adopts nil provision for deferred tax. Ud Tara Question 2 The trial balance below relates to Kelewele Commercial Bank as at 31" December, 2017 DE CE GHC GHC Interest income 4,950 Interest on customers' deposits Net fees and commission income Gains on foreign currency Dividend income Operating expenses Directors smolument Auditors fees Dividend paid (Note 6 ) Loan impairment provision as at 1 Jan 2017 (Note 4) Rental income from investment property (Note 3) Corporate current tax Income surplus as at 1 Jan 2017 Capital surplus as at 1 Jan 2017 Statutory reserve as at 1 Jan 2017 Stated capital (50.000 equity shares) as at 1 Jan 2017 Cash on hand 340 Balance with the Bank of Ghana 3.050 Investment in government securities 10000 Investment in listed financial institutions 160 Receivables from other banks 1.610 Payables to other hanks Overdraft, loans and advances 15.700 Sunday receivables and prepayments 500 Property, plant and equipment 1.240 Accumulated depreciation of PPE as at 1 Jan 2017 (Note 1) 300 Investment property (Note 3) 240 Customers' deposits Expense trade payables and accruals Total 37.170 37,170 Notes 1. Property, plant and equipment as at 31 December, 2016 was as follows: Cost Acc. dep Rate of depreciation GHCOCO GHC00D GHC000 Land and building 450 0 20% straight line per annum Equipment 750 200 25% straight per annum Motor vehicles 40 20 25% per annum line 24550 The value of land and building at acquisition was GHC450,000 (land C50,000 and building C400,000) on 1" January, 2016. The company policy on depreciation does not cover land. The directors caused the property (land and building) to be revalued in 14 January, 2017 The valuers assigned value of GHC400,000 for both land and building but advised that the estimated remaining useful life should be maintained. The directors wish to incorporate this valuation in 2017 financial statement. 2. There was neither tax liability nor current tax asset as at 1" January, 2017. During 2017, the company paid GHC100,000 for corporate tax on interim assessment. The bank is subject to 20% corporate tax. The company adopts nil provision for deferred tax. Ud Tara