Please help me XYZ Ltd. was registered with an authorized capital of RS 7,000,000 divided into 700,000 ordinary shares ofRs.10 each. The company books showed the following balance June 30, 2005.DEBITCashAccounts receivableMerchandiseOffice suppliesUnexpiredPlant assetsVehiclesPurchasesTransportation inSales return &Salaries expensesCREDIT110,000 Paid up capital125,000 Retained earnings42,000 Accounts payable38,000 6% Debenturespayable40,000 Accumulated dep. (Plant450,000 Accumulated dep.200,000 Purchases return &205,000 Commission income35,000 Sales revenue25,00075,0001,345,000Data for Adjustment on June 30. 2005:(a) Office supplies used Rs.24,000.(b) Insurance expired Rs.33,000.(d) Depreciation estimated on plant assets Rs.50,000.(e)Salaries for the period Rs.80,000.(f) Prepaid salaries Rs. 5,000.(g) Merchandise inventory Rs.32,000 on 30.6.2005.(h) Provision for estimated bad debts Rs.5,000.(1) Appropriate Rs.40,000 for plant extension and500,00050,00050,000100,000(c) 20% Depreciation for the year on written down value onvehicles.Rs.25,000 for general reserves and declare cashdividend @ 10% on paid up capital.50,00075,00030,00090,000400,0001,345,000REQUIRED(a) Income statement. (b) Statement of retained earnings(c) Balance sheet.

The Interest on Debentures is assumed to be unpaid and can be calculated as 6% on $100,000 = $6000…

Answered: REQUIRED (a) Income statement. (c)…

Business

Accounting

REQUIRED (a) Income statement. (c) Balance sheet. (b) Statement of retained earnings

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter15: Contributed Capital

Section: Chapter Questions

Problem 1MC

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Question

Please help me

XYZ Ltd. was registered with an authorized capital of RS 7,000,000 divided into 700,000 ordinary shares of
Rs.10 each. The company books showed the following balance June 30, 2005.
DEBIT
Cash
Accounts receivable
Merchandise
Office supplies
Unexpired
Plant assets
Vehicles
Purchases
Transportation in
Sales return &
Salaries expenses
CREDIT
110,000 Paid up capital
125,000 Retained earnings
42,000 Accounts payable
38,000 6% Debentures
payable
40,000 Accumulated dep. (Plant
450,000 Accumulated dep.
200,000 Purchases return &
205,000 Commission income
35,000 Sales revenue
25,000
75,000
1,345,000
Data for Adjustment on June 30. 2005:
(a) Office supplies used Rs.24,000.
(b) Insurance expired Rs.33,000.
(d) Depreciation estimated on plant assets Rs.50,000.
(e)Salaries for the period Rs.80,000.
(f) Prepaid salaries Rs. 5,000.
(g) Merchandise inventory Rs.32,000 on 30.6.2005.
(h) Provision for estimated bad debts Rs.5,000.
(1) Appropriate Rs.40,000 for plant extension and
500,000
50,000
50,000
100,000
(c) 20% Depreciation for the year on written down value on
vehicles.
Rs.25,000 for general reserves and declare cash
dividend @ 10% on paid up capital.
50,000
75,000
30,000
90,000
400,000
1,345,000
REQUIRED
(a) Income statement. (b) Statement of retained earnings
(c) Balance sheet.

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