From the following trial balance and additional information construct an income statement for the year ended 31 March 2016 and a balance sheet as at that date.
K Emery Trial balance as at 31 March 2016
|
Dr £ |
Cr £ |
|
|
Sales |
92,300 |
|
|
Purchases |
65,620 |
|
|
Opening inventory |
4,232 |
|
|
Premises |
85,000 |
|
|
Vehicles |
11,200 |
|
|
Debtors |
3,453 |
|
|
Creditors |
5,981 |
|
|
Returns inwards |
328 |
|
|
Returns outwards |
209 |
|
|
General expenses |
1,897 |
|
|
Office expenses |
2,310 |
|
|
Wages |
14,600 |
|
|
Insurance |
880 |
|
|
Provision for depreciation on premises |
12,000 |
|
|
Provision for depreciation on vehicles |
4,500 |
|
|
Capital |
85,000 |
|
|
Drawings |
13,200 |
|
|
Bank |
2,730 |
|
|
202,720 |
202,720 |
Additional information:
(a)Inventory as at 31 March was valued at £6,790.
(b)As at 31 March 2016 the following balances were prepaid:
iOffice expenses £450
iiInsurance £260.
(c)Depreciation is to be provided for as follows:
iPremises:2% on cost
iiVehicles:20% on reducing balance.