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Statement of Financial Position at the start of the week: ASSETS $ Property 750,000 Office Equipment 450,000 Inventories 200,000 Trade Receivables 130,000 Total assets 1,530,000
Statement of Financial Position at the start of the week:
ASSETS | $ |
Property | 750,000 |
Office Equipment | 450,000 |
Inventories | 200,000 |
Trade Receivables | 130,000 |
Total assets | 1,530,000 |
EQUITY AND LIABILITIES | $ |
Equity | 1,200,000 |
Short-term Borrowing | 140,000 |
Trade Payables | 190,000 |
Total equity and liabilities | 1,530,000 |
Transactions:
- Sold inventories for $55,000 cash; these inventories had cost $45,000.
- Sold inventories for $65,000 on credit; these inventories had cost $55,000.
- Received cash from trade receivables totaling $60,000.
- The owners of the business introduced $450,000 of their own money, which was placed in the business bank account.
- The owners bought new production equipment, valued at $100,000, into the business.
- Bought inventories on credit for $55,000.
- Paid trade payables $50,000.
Required: Show the statement of financial position after all of these transactions have been reflected.
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