2. The following trial balance was extracted from the books of Syarikat Wawa at 31 Mac 2020: Particulars RM Capital 63,030 Carriage in 1,620 Carriage out 800 Purchases 145,800 Office equipment 10,000 Motor vehicle 8,500 Sales 232,950 Wages and salaries 68,000 Rent and rates 3,600 Lighting and heating 8,400 Vehicles running cost 4,300 Telephone expenses 9,600 General office expenses 3,180 Debtors 28,400 Creditors 16,440 Provision for depreciation: Motor vehicle Office equipment 4,250 4,000 Provision for doubtful debts 500 Drawings 13,570 Cash at bank 6,200 Cash in hand 300 Stock as at 1 April 2019 8,000 Return inwards 3,800 Return outwards 2,900 Additional information as at 31 Mac 2020: Stock on hand was valued at RM8,800 Rent and rates prepaid RM1,200 iii. Wages and salaries RM1,750 Depreciation is to be provided as follows: Motor vehicles - 50 % reducing balance method Office equipment - 20% straight line method The doubtful debts provision is to be maintained at 2% of closing debtors. Required: a) Statement Profit or Loss and Other Comprehensive Income for the year ended 31 Mac 2020. b) Statement of Financial Position as at 31 Mac 2020.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Question

2. The following trial balance was extracted from the books of Syarikat Wawa at 31 Mac 2020:

Particulars	RM
Capital	63,030
Carriage in	1,620
Carriage out	800
Purchases	145,800
Office equipment	10,000
Motor vehicle	8,500
Sales	232,950
Wages and salaries	68,000
Rent and rates	3,600
Lighting and heating	8,400
Vehicles running cost	4,300
Telephone expenses	9,600
General office expenses	3,180
Debtors	28,400
Creditors	16,440
Provision for depreciation: Motor vehicle Office equipment	4,250 4,000
Provision for doubtful debts	500
Drawings	13,570
Cash at bank	6,200
Cash in hand	300
Stock as at 1 April 2019	8,000
Return inwards	3,800
Return outwards	2,900

Additional information as at 31 Mac 2020:

Stock on hand was valued at RM8,800
Rent and rates prepaid RM1,200

iii. Wages and salaries RM1,750

Depreciation is to be provided as follows:
Motor vehicles - 50 % reducing balance method
Office equipment - 20% straight line method
The doubtful debts provision is to be maintained at 2% of closing debtors.

Required:

a) Statement Profit or Loss and Other Comprehensive Income for the year ended 31 Mac 2020.
b) Statement of Financial Position as at 31 Mac 2020.

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Expert Solution

Step by step

Solved in 3 steps with 4 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions