Question $3$

Millsborough Limited list of balances year ended December $31,2012$

$15\%$ Preference Share Capital

Ordinary Share Capital

General Reserves

$20\%$ Debentures

Retained Profits January $1,2012$

Sales

Cost of Sales

Debenture Interest paid for $2012$

Salaries

Insurance

Utilities

Office Supplies Expense

Rental Income

Depreciation

Telephone Expenses

Furniture

Allowance for depreciation on Furniture

Trade Debtors

Cash & Bank

Closing Stock

Trade Creditors

Preference Dividends Paid

Ordinary Dividends paid

Rent expense

$

$100,000$

$100,000$

$16,000$

$100,000$

$140,202$

$1,000,000$

$686,460$

$7,500$

$136,250$

$13,265$

$21,853$

$222$

$3,900$

$3,000$

$2,000$

$70,000$

$40,000$

$136,270$

$106,480$

$277,002$

$17,200$

$15,000$

$20,000$

$22,000$

Additional information

$1$ Rent expense owing as at December $31,2012$$$2,000$

$2$ Rental income for $2013$ received in $2012$ amounted to $$300$

$3$ Prepaid insurance during $2012$ amounted to $$2,400$

$4$ Provide for Corporation tax of $$28,602$ for $2012$

$5$ Transfer $$2,000$ to general reserve.

$6$ Weighted average number of ordinary shares in issue during $2012$ amounted to $50,000$

Semester $12013/2014$

$8$

Required:

I Prepare the Statement of Comprehensive Income for the year ended December $31,2012.$

$(19$ marks$)$

Prepare the Statement of Changes in Equity for the year ended December $31,2012.(11$ marks$)$

I Prepare the Statement of Financial Position as at December $31,2012.(10$ marks$)$