Question
The following are the ledger balances for May Beauty Parlour for 30 June 2021: RM Sales 50,450 Opening inventory 11,000 Purchases 34,600 Carriage inwards 480
The following are the ledger balances for May Beauty Parlour for 30 June 2021: RM Sales 50,450 Opening inventory 11,000 Purchases 34,600 Carriage inwards 480 Wages 6,000 Rates 600 Discount Allowed 700 Rent 2,000 Insurance 160 Stationery 100 Commissions paid 260 Interest expense (for 9 months only) 240 General Expenses 120 Office Equipment 4,000 Bank Overdraft 600 Accounts Receivable 6,800 Provision for Doubtful Debts 200 Land and Buildings 26,400 Accounts Payables 3,200 Mortgage 2,000 Capital 37,010 3 Below is the additional information which was left out by Mays clerk. RM Closing inventory 7,400 Prepaid Insurance 60 Accrued wages 100 Depreciation - Office Equipment 380 Interest expenses unpaid for 3 months 80 The provision for doubtful debts is to be made equal to 6% of the Accounts Receivables. Required: Prepare: a. The Statement of Comprehensive Income for the year ended 30 June 2021. (11 marks) b. The Statement of Financial Position as at 30 June 2021. (9 marks)
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