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Question 7 The following information relates to the Worthington Stage Sales and Hire Company. Worthington Stage and Theatrical Hire Company Cash Budget for the month

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Question 7 The following information relates to the Worthington Stage Sales and Hire Company. Worthington Stage and Theatrical Hire Company Cash Budget for the month of July 2010 Receipts $ Sales Hire fees 12,800 Sale of old equipment 6,100 Sale of share capital 2,100 15,000 36,000 Payments Purchases 12,500 Selling expenses 5,000 Administration expenses 2,000 Finance expenses 3,000 Dividends paid 3,000 Income tax expense 2,500 28,000 8,000 Cash at bank (beg) 3,400 Cash at bank (end) 11,400 Required Prepare a statement of cash flows for the month ended 31" July 2010. Total for Question 7 - 8 marks]formats are: Lol booklet. The suggested Income Statement Balance Sheet Revenue EA Less Cost of Goods Sold Current Assets Gross Profit Non-current Assets Total Assets Less Expenses Current Liabilities Net Profit Non-current Liabilities Total Liabilities Net Assets Proprietorship Required a Record the transactions in the worksheet supplied with this paper: [6 marks] b Prepare the Income Statement to calculate the net profit for the period; and [7 marks] Prepare a correctly classified Balance Sheet for the month. [10 marks/ / Total for Question 1 - 23 marks]Question 1 The following information relates to Private Lives, Detective Agency, a small sole trader. The owner, Mr Coward, started the business by depositing $40,000 into the business bank account. The business has been trading for one month and Mr Coward has been able to record most transactions in the attached work sheet but requires your help to record the last few days' transactions and the end of month adjustments. Additional Information: The following transactions need to be recorded in the attached worksheet: 1 . We had previously received $1.500 for services we were not able to deliver. We have now made the inquiries for the customer. 2. Assistant's wages owing at the end of the month are $500. Depreciation of office equipment for 1 month is $150. 4. Advertising used during the month is $1,200. 5. Supplies used during the month amounted to $1,200 6. Rent used during the period $1,000. The following headings are provided as a guide only. You should prepare your reports in the answer book supplied with your question booklet. The suggested formats are: Balance Sheet Income Statement

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