The end of month adjustments are below.

a.	Depreciation on shop equipment for the month is 15% p.a. prime cost (straight line).
b.	One-twelfth of the insurance expired.
c.	Superannuation payable for the month is 8% of the gross wages paid.
d.	Interest charged on the bank loan for the month was $113.

The transactions above have been journalised and posted. The adjusted trial balance is below.

Skate 'n' Surf Adjusted trial balance as at 30 June 20XX
Account no.	Account	Debit		Credit
100	Cash at bank	10,150
110	Accounts receivable	11,660
120	Inventory	38,520
130	Prepaid insurance	2,475
171	Shop equipment (cost)	30,500
172	Accumulated depreciation - shop equipment			381
200	Accounts payable			29,320
210	PAYG withholding payable			50
220	Superannuation payable			68
230	Bank loan			27,113
300	Capital			29,000
400	Sales revenue			21,600
410	Sales returns and allowances	540
420	Discount received			1,900
500	Cost of sales	11,800
600	Advertising expense	1,500
610	Depreciation expense	381
620	Discount allowed	200
640	Insurance expense	225
650	Interest expense	113
660	Postage and stationery expense	300
670	Superannuation expense	68
680	Telephone expense	150
690	Wages expense	850
		$109,432		$109,432

Question above was A of two parts. The question required to be answered is below

Skate 'n' Surf began operations on 1 June, buying and selling surfboards, skateboards, wetsuits and the protective gear for skateboarding. The structure of the business is that of a sole trader. The business employed a sales assistant during the month who is to be paid fortnightly. Tax is deducted from the employee's wages (PAYG withholding tax) and remitted to the Australian Taxation Office (ATO) on a quarterly basis. The business has not registered with the ATO for the goods and services tax (GST) and has elected to use the accrual basis of accounting. Accounting records The business records all transactions in the general journal. These transactions are then posted to the appropriate account(s) in the general ledger. The accounts receivable and accounts payable subsidiary ledgers are provided for information only, you are not required to post to these ledgers. Chart of accounts The chart of accounts for Skate 'n' Surf contains the accounts and account numbers below. 100 Cash at bank 110 Accounts receivable 120 Inventory 130 Prepaid insurance 171 Shop equipment (cost) 172 Accumulated depreciation - shop equipment 200 Accounts payable 210 PAYG withholding payable 220 Superannuation payable 230 Bank loan 300 Capital 310 Drawings 320 Profit or loss summary 400 Sales revenue 410 Sales returns and allowances 420 Discount received 500 Cost of sales 600 Advertising expense 610 Depreciation expense 620 Discount allowed 630 Electricity expense 640 Insurance expense 650 Interest expense 660 Postage and stationery expense 670 Superannuation expense 680 Telephone expense 690 Wages expense Transactions June 1 The owner opened a bank account for the business with a deposit of $30,500. This is capital provided by him. 1 Purchased display stands, shelving etc. (shop equipment) from Shop Displays Pty Ltd for $28,500 and computer equipment for the shop from Computer Wizards for $3,700. These were paid for with a loan of $28,500 from the bank and cheque for $3,700 from the business bank account. The bank loan is repayable over 3 years. 2 Purchased inventory (skateboards and protective gear) from Excitement plus for $25,000 on terms on net 30. 5 Cash purchase of stationery from Orriceworks for $340. 7 Purchased surfboards and wetsuits from Surf Imports for $19,000 on terms of 10/10, n/30. 9 Paid Surf Imports the amount owing to them less the prompt payment discount. 11 Paid $3,800 for a 1-year insurance policy covering fire, theft, and public liability. 12 Paid $1,510 to Local Newspapers for advertising for the shop for the month. 13 Credit sale to Serious Fun of skateboards and protective gear for $5,000 (cost of sales $2,700). This customer was given terms of 5/10, n/30. 14 Credit sale to Surfing World of various inventory items for $7,000 (cost of sales $3,800). Terms net 30 17 Credit sale to Academy Diving School of 15 wetsuits at a discounted price of $270 each on terms of net 15. Cost of sales $3,200. 18 Returned some protective gear to Excitement Plus that was faulty and received an adjustment note (credit note) from them for $190. 18 Received a cheque from Serious Fun for the amount owing by them after deducting the prompt payment discount. 19 Issued an adjustment note (credit note) to Academy Diving School for 3 wetsuits at $270 each that was not the size they required. The cost of the wetsuits to us was $350 and they were put back into inventory. 20 Cash sale of inventory to the value of $900 (cost of sales $450). 23 Paid Excitement Plus $3,000 of the amount owing to them. 25 Credit sale to Serious Fun of skateboards for $7,100 (cost of sales $3,790). Terms 5/10, n/30. 26 Received and banked a cheque for $4,600 from Surfing World in part payment of the amount owing by them. 27 Purchased wetsuits from Surf Imports for $7,700 on terms of 10/10, n/30. 30 Paid Telstra $200 for telephone expenses. 30 The owner cashed a cheque for $850 to pay wages to Scott Walker the sales assistant of $900 less PAYG Withholding of $50. Your answer is correct. Prepare the statement of profit or loss for June. (Enter accounts in ascending account order.) Skate 'n' Surf Statement of profit or loss for the period 1 June to 30 June 20XX Revenue Sales revenue Sales revenus 21,600 Less: Sales returns and allowances (540) Net sales revenue R1,0601 Less: Cost of sales 111,800 9,260 Gross profit Other revenue! Discount received 1,900 111,160 Expenses Advertising expense 71,500 Depreciation expense 381 Discount allowed 7200 Insurance expense 1225 Interest expense 7113 300 Postage and stationery expense Superannuation expense 168 [Telephone expense 1150 7850 Wages expense Total expenses 13,787 Net profit/ (loss) $2,3731 (b) Prepare the statement of financial position (balance sheet) as at 30 June. Show all accounts with balances as there are no notes to the financial statements. (Enter accounts, based on their respective classification, in ascending order.) Skate 'n' Surf Statement of financial position as at 30 June 20XX Assets Current assets Total current assets Non-current assets Less: Total non-current assets Total assets Liabilities Current liabilities Total current liabilities Non-current liabilities Total non-current liabilities Total liabilities Net assets Equity Add: Total equity