Required: 1/ Open the accounts with opening balances (1 point). 2/ Record all transactions. Costs are recorded as costs by nature (22,5 points). 3/ Close all accounts, show their ending balances and calculate profit or loss for January according to costs by nature structure in the Profit/(loss) account. Ignore Change in inventories item while calculating financial result in Profit/(loss) account. (1,5 points). 4/ Prepare cash flow statement (using direct method) of JUMPEX as at 31.01.2016 (5 points).

The balance sheet of the company JUMPEX as at 1.01.2016 is as follows: ASSETS

Long-term investments 40 000*

Basic capital 20 000

Accounts receivable 21 000

Share premium 30 000

Short-term investments 9 000**

Long-term bank loan 40 000

Cash and cash equivalent 46 000

Liabilities 20 000 Deferred cost 24 000***

Accounts payable 30 000

Total assets 140 000

Total equity & liabilities 140 000 *

Long-term investment includes shares of: Company Alfa 200 shares at $20 and Company Avaree 2 000 shares at $18.

** Short-term investment includes shares of Company Playon 225 shares at $40.

*** Annual subscription of The Wall Street Journal online edition purchased in December 2015 for 2016 at the cost of $24 000.

In January, 2016 the company noted the following economic transactions: 1.Company purchased with cash 10 computers at 1 000 each.

2.Company repaid accounts payable of 30 000.

3.A debtor repaid the full amount owed 11 000.

4.Company calculated and recorded bad debt expense 20% of outstanding receivables.

5.Company provided consulting services to the client for 5 000. The service will be paid for in mid-February.

6.Company sold for cash 2 000 shares of Avaree for a price of $20 per share.

7.Company took on a loan of 20 000. The cash from the loan was transferred to companys bank account.

8.A construction company has made renovations worth 2 500 on the Companys premises during the month of January. The invoice will be received by the Company in February. 9.Company obtained a subsidy from a government of 20 000 to conduct R&D activities over the next year, starting in February 2016. The subsidy was received in the form of cash transfer. 10.Company sold for cash 200 shares of Playon for a price of $35 per share.

11.Company received an invoice for energy used in January valued 2 000. The company has paid for the invoice by bank money transfer.

12.Company paid by cash repayment of a long-term bank loan with interest - 5 000 repayment of capital and 500 of interest.

13.Company recorded cost related to subscription for the month of January.

14.Company repurchased from the market 50 of own shares at nominal value of 1 and purchase price of 4. All shares were paid for in full in cash.

15.Company valued long-term and short-term investments. Long-term investments are valued at cost of purchase less impairment cost. Short-term investments are valued at fair value. At 31st of January the market value of investments is: Company Alfa at $19 per share. Company Avaree at $19 per share. Company Playon at $42 per share.

PLEASE HELP.