Please help me Q15.4 The following trial balance was extracted from the books of Percival Porteous at 31 May 20-0.Trial balance as at 31 May 20-0Capital54,960Drawings8,280Premises at cost54,000Sundry debtors and creditors7,5006,228Opening stock11,100Salaries5,280Carriage inwards2,190Carriage outwards2,340Rates and insurance2,790Purchases and sales102,000145,185Returns inwards and outwards7801,440Advertising1,041Bad debts240Rent receivable960Office equipment at cost6,000Shop fitings at cost18,000Provision for depreciation:Office equipment1,200Shop fittings4,800Cash in hand1,020Bank overdraft7,488Provision for bad debts300222,561222,561You are given the following additional information:) Stock valued at 31 May 20-0 £12,600(i) Salaries due but unpaid £1,800(ii) Rates and insurance prepaid £310(w) The provision for bad debts is to be adjusted to 5% of deblors outstanding on 31 May 20-0(M) Depreciation is written off fixed assets as follows:Office equipment 10% per annum using the straight line basisShop fittings 5% per annum using the reducing balanceYou are required to:Prepare Porteous's trading and profit and loss account for the year ended 31 May 20-0 showingclearly(a) the cost of goods sold(b) gross profit and net profit

We know that Cost of good sold can be calculated using below mention formula. Cost of Good Sold =…

Trial balance as at 31 May 20-0 Capital Drawings 54,960 8,280 Premises at cost 54,000 Sundry debtors and creditors 7,500 6,228 Opening stock Salaries 11,100 5,280 Carriage inwards 2,190 Carriage outwards 2,340 Rates and insurance 2,790 Purchases and sales 102,000 145,185 Returns inwards and outwards 780 1410

Trial balance as at 31 May 20-0 Capital Drawings 54,960 8,280 Premises at cost 54,000 Sundry debtors and creditors 7,500 6,228 Opening stock Salaries 11,100 5,280 Carriage inwards 2,190 Carriage outwards 2,340 Rates and insurance 2,790 Purchases and sales 102,000 145,185 Returns inwards and outwards 780 1410

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter9: Metric-analysis Of Financial Statements

Section: Chapter Questions

Problem 9.4.10P: Twenty metrics of liquidity, solvency, and profitability The comparative financial statements of...

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