QUESTION TWO The following list of account balances has been prepared by Ghana Aluminium Plastic Manufacturers, on 31 May 2014, which is the end of the company's accounting period G C 300.000 100,000 50,000 150,000 283.300 1526.750 158.100 116.00 54.100 5.750 215.500 75.000 15.000 Authorised and issued 300,000 ordinary shares OfGHCl cach, fully paid 100.000 8.3 Cumulative preference shares of GHCI each Fully paid Revaluation Surplus General Reserve Income Surplus at1 June 2013 Revenue Administrative Expenses Selling & Distribution Expenses Legal & Professional Expenses Allowances for receivables-31 May 2013 Inventory - Finished Goods - 31 May 2013 Patents and Trademarks Freehold Property - Cost Leasehold Property - Cost Accumulated amortization of leasehold property-31 May 2014 Plant and Equipment at Cost Accumulated depreciation - Plant and quipment - 31 May 2014 Furniture and fittings - At Cost Accumulated depreciation - Fumiture and Fittings - 31 May 2014 Motor Vehicle tout Accumulated depreciation - Motor Vehicle 31 May 2014 10% Loan Notes (2010-2018) Trade Receivables Trade Payables Bank Overdraft Inventory- Raw Material - 31 May 2013 Purchases - Raw Materials Camiage inwards - Raw Materials Manufacturing Wages Manufacturing overheads Cash Work --Progress 150.000 68.500 15.750 75.000 28.000 100.000 177430 97.500 51_250 10.00 10.500 250.000 5.1.20 Additional Information 1. Inventories at 31 May 2014 were as follows: GHS Raw Materials Finished Goods 275.350 Work in Progress 37.800 2. Depreciation for the year is to be charges as follows Plant and Equipment 8% on Cost - Charged to Production Furniture and Fixtures 10% on Cost-Charged to administration Motor Vehicles 20% on reducing value - 25% administration 79. Selling and Distribution 3. Fasil, Lepland Prema include acceso profiel Land during year amounted to GHS 5.000.000 4. Provision is to be made for a full years interest on the loan notes 5. Income tax on the profits for the year is estimated at GHC 40,000 and is due for payment on 28 February 2015 6. The direcious recommended on 30 June that a dividend of 3.5 personas per shure be paid on the Required From the information given above, prepare the statement of comprehensive income of Ghana Aluminium Led for the year to 31 May 2014 and a statement of financial position as all that date for publication in accordance with International Financial Reporting Standards (IFRS) Notes to the financial statement are not required  

 

QUESTION TWO The following list of account balances has been prepared by Ghana Aluminium Plastic Manufacturers, on 31 May 2014, which is the end of the company's accounting period: GHC000 GHC'000 Authorised and issued 300,000 ordinary shares Of GHCI each, fully paid 100,000 8.4% Cumulative preference shares of GHCI each 300,000 Fully paid Revaluation Surplus General Reserve 100,000 50,000 150,000 Income Surplus at 1 June 2013 Revenue Administrative Expenses Selling & Distribution Expenses Legal & Professional Expenses 283,500 1,526,750 158,100 116,300 54,100 Allowances for receivables-31 May 2013 5,750 Inventory - Finished Goods-31 May 2013 184,500 Patents and Trademarks 215,500 Freehold Property-at Cost 250,000 Leasehold Property-at Cost 75,000 Accumulated amortization of leasehold property-31 May 2014 15,000 Plant and Equipment - at Cost 150,000 Accumulated depreciation-Plant and Equipment-31 May 2014 68,500 Furniture and fittings-At Cost 50,000 Accumulated depreciation - Furniture and Fittings-31May 2014 Motor Vehicle-at cost 15,750 75,000 Accumulated depreciation-Motor Vehicle 31 May 2014 25,000 10% Loan Notes (2010-2018) 100,000 Trade Receivables 177,630 Trade Payables 97,500 Bank Overdraft 51,250 Inventory - Raw Materials - 31 May 2013 108,400 Purchases-Raw Materials 750,600 Carriage inwards-Raw Materials 10,500 Manufacturing Wages 250,000 Manufacturing overheads 125,000 Cash 5,120 Work-in-Progress 32.750 2.783.000 Additional Information 1. Inventories at 31 May 2014 were as follows: Raw Materials GHS 112,600 Finished Goods Work-in-Progress 2. Depreciation for the year is to be charges as follows: Plant and Equipment 8% on Cost-Charged to Production Furniture and Fixtures 10% on Cost-Charged to administration Motor Vehicles 20% on reducing value-25% administration 75% Selling and Distribution 275,350 37,800 3. Financial, Legal and Professional expenses include solicitors fees for purchase of freehold land during year amounted to GHS 5,000,000 4. Provision is to be made for a full years interest on the loan notes 5. Income tax on the profits for the year is estimated at GHC 40,000 and is due for payment on 28th February 2015 6. The directors recommended on 30 June that a dividend of 3.5 pesewas per share be paid on the Required From the information given above, prepare the statement of comprehensive income of Ghana Aluminium Ltd for the year to 31" May 2014 and a statement of financial position as at that date for publication in accordance with International Financial Reporting Standards (IFRS) Notes to the financial statement are not required