Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Use the trial balance, additional information and adjustments piven below to prepare the Statement of Comprehemive Income of Selfie Limited for the year ended 28
Use the trial balance, additional information and adjustments piven below to prepare the Statement of Comprehemive Income of Selfie Limited for the year ended 28 February 2018 PRE-ADJUSTMENT TRIAL BALANCE AS AT 28 FEBRUARY 2018 Debit Credit [ Ordinary share capital Retained earning Equipment at cost 13 000 44 000 50 000 Debtors econtrol Provision for bad debts 14 600 Laat Pano Bank(18% p African Revenue Services (Company 50 000 South 36 000 356 000 24 000 12 000 Bad debts Discount alowed Discount received Electricity and watee 37 000 nterest on overdraft Audin fees 190 000 5000 Rent income 26 000 AND ADJUSTMENTS 1. According to physical stocktaking, the following inventories were on hand on 28 February 2018: Trading inventory Stationery 2. Advertising inckudes a payment of R6 000 for advertisements that will be publshed monthly for the period 01 January 2018 to 30 June 2018. 3. Part of the building has been let to a tenant since 01 March 2017. Rent amounts to R2 000 per month Make the necessary adjustment . Write off the account of debtor, P. Paul, R300 . The provision for bad debts must be decreased to R2 500 6. Directors' fees have been paid up to 31 January 2018. A third director was employed from 01 Februany 2018. The three directors earn the same remuneration. Provide for the fees still due. 7. The loan from Pano Bank was obtained on 01 February 2018. Provide for the outstanding interest on loan. 8. A notice from the municipality indicated that the rates assessment for the year ended 28 February 2018 has been finalised and it amounts to R24 000 for the financial year 9. Provide for depreciation as follows * On vehicles at 20% per year using the diminishing balance method. On equipment at 1S% per year on cost. 10. The company tax for the year ended 28 February 2018 amounts to R40 140
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started