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Transactions for the year ending 30 June 2021 Credit Purchases of inventory $27,500 Cash Sales $25,000 Credit Sales $32,500 Paid Accounts Payable $12,500 Paid wages
Transactions for the year ending 30 June 2021
- Credit Purchases of inventory $27,500
- Cash Sales $25,000
- Credit Sales $32,500
- Paid Accounts Payable $12,500
- Paid wages $10,000, wages owing at 30 June 2021 $1,500
- $6,500 in rent was paid during the year. Rent is charged at $500 per month
- Collection from Accounts Receivable $15,000
- Interest paid on the Loan $750
- Insurance expense incurred but not yet recorded $2,500
- The company paid a subscription of $3,000 relating to the period 1 April 2021 to 31 January 2022
- The Directors agreed to a wages bonus of $10,000 for good performance this year. It was announced to staff in June but had not been paid as at 30 June 2021
- Electricity of $2,000 for the period March 2021 to June 2021 not paid
- Depreciation of Furniture & Fittings 10% of cost
- Bad debts written off using the direct method $1,500
- Dividends paid at 30 June 2021 of $2,000
- Stock at end of June 2020 $22,500
Note:
Accounts Payable are used for inventory purchases only.
6a) Complete the attached spreadsheet containing the Worksheet, Income Statement for the year ending 30 June 2021 and Balance Sheet as at 30 June 2021, and then upload it below.
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