Question
Statement of financial position at the start of the week: ASSETS Property 180,000 Machinery 70,000 Inventories 40,000 Trade receivables 38,000 Total assets 328,000 EQUITY
Statement of financial position at the start of the week:
ASSETS | £ |
Property | 180,000 |
Machinery | 70,000 |
Inventories | 40,000 |
Trade receivables | 38,000 |
Total assets | 328,000 |
EQUITY AND LIABILITIES | £ |
Equity | 250,000 |
Short-term borrowing | 48,000 |
Trade payables | 30,000 |
Total equity and liabilities | 328,000 |
Transactions:
(a) Sold inventories for £15,000 cash; these inventories had cost £10,000.
(b) Sold inventories for £20,000 on credit; these inventories had cost £14,000.
(c) Received cash from trade receivables totaling £18,000.
(d) The owners of the business introduced £110,000 of their own money, which was placed in the business bank account.
(e) The owners bought a car, valued at £12,000, into the business.
(f) Bought inventories on credit for £13,000.
(g) Paid trade payables £12,000.
Required:
Show the statement of financial position after all of these transactions have been reflected.
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