QUESTION ONE

William Limited has the following trial balance at $31$st December $2017$

$\backslash$table$[[,$Dr$.,$Cr$.],[,($GHC$),($GHC$)],[$Stated capital,,$310],[$Income surplus at $1$ January $2017,,456],[$Inventory at $1$ January $2017,236,],[$Tumover$,,1,468],[$Purchases$,856,],[$Salaries$,46,],[$Directors salaries $($admin expense$),116,],[$Land & building at cost$,550,],[$Plant & equipment at cost$,578,],[$Land & building$-$ accumulated depreciation as at $1$ January $2017,,154],[$Plant & equipment $-$accumulated depreciation as at $1$ January $2017,,266],[$Bank interest received,,$6],[$Sundry expenses,$56,],[$Trade receivables,$110,],[$Trade payables,,$122],[$Accruals$,,42],[$Cash at bank,$43,],[$Dividends paid,$36,],[$Administrative expenses,$183,],[$Interest paid,$14,],[,2\mathrm{.}824,2\mathrm{.}824]]$

The following information is also relevant:

$(1)$ Inventory at ${31}^{st}$ December $2017$ is $GHC256$

$(2)$ The tax liability for the

$(3)$ The original cost of land and buildings is made up of GH$100$ land and GH$450$ buildings. Buildings are used in administration and depreciation is charged on a straight line basis over the estimated useful life of $50$ years.

$(4)$ Plant & equipment are used in distribution and depreciation is charged at $15\%$ reducing balance basis.

$(5)$ Trade receivables include GH$4$ owed by a customer who is in liquidation. Due to the economic climate the company wish to make an allowance of $5\%$ of remaining debts.

$(6)$ No account has been made for the audit fee of GH$10($admin expense$).$

$(7)$ Unless otherwise stated, expenditure should be split evenly between administration and distribution costs.