Question
The following account balances were extracted from the books of a pension fund for the year ended 30th June 2017. Dr ($) Cr ($) Payments
The following account balances were extracted from the books of a pension fund for the year ended 30th June 2017.
| Dr ($) | Cr ($) | |
| Payments to members | 1 000 000 | |
| Members contributions | 8 000 000 | |
| Management expenses | 5 500 000 | |
| Interest on investment received | 4 000 000 | |
| Fund Account (Equity) | 18 000 000 | |
| Cash | 3 500 000 | |
| Investment A/C | 20 000 000 | |
| 30,000,000 | 30,000,000 |
Required: Use cash basis of accounting to prepare:
a) Operating Statement for the year ended 30th June 2017 and (6marks)
b) Balance sheet as at that date. (6 marks)
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1st Edition
0367862751, 978-0367862756
