+- Accountancy Forum (https://www.accountancy.com.pk/forum)
+-- Forum: The Profession (https://www.accountancy.com.pk/forum/forum-the-profession)
+--- Forum: Students (https://www.accountancy.com.pk/forum/forum-students)
+--- Thread: plz solve this hard one (/thread-plz-solve-this-hard-one)
plz solve this hard one - darenatto - 04-15-2007
can plz someone help me with this tough one?
Paul n Barry r in a business partnership.their trial balance as at 31 may 2006 is given below
$
Sales revenue 568,000
Returns inwards 5100
Purchases 375,600
Rent 18,760
Selling expenses 55,600
General expenses 3680
Allowance for receivables at 1jun 2005 2100
Bank 13980
Wages 18000
Trade payables 41300
Current accounts at 1june paul 3570 barry 2190
motor vehicles,at cost 30000
fixtures and fittings,at cost 4000
accumulated depreciation at 1 june 2005
-motor vehicles 9000
-fixtures n fittings 7000
insurance 1540
inventory at 1 june 2005 39200
motor vehicle expenses 9300
trade receivables 47500
discounts allowed 8900
drawings-paul 16000 drawings-barry 11000
capital accounts at 1 june 2005-paul 20000
-barry 15000
---------
668160
the following additional information as at 31 may 2006 is available
1inventory was valued at $32000
2during the year barry has taken some goods for his own use to the value of 450,but this has not yet been recorded in the accounting records.
3interest on drawings for the year were $420 for paul n $180 for barry
4paul is entitled to a salary of $15000 per annum before profits r shared
5insurance of $900 has been paid in advance
6depreciation is to b provided as follows
-motor vehicles at 20% using the reducing balance method
-fixtures and fittings at 15% using the straight line method
7there r outstanding general expenses of $600
8debts of $600 r to be written off and the allowance for receivables is to b adjusted to the equivalent of 5%of the remaining trade receivables,based on past experience
9paul n barry share profits profits n losses in the ratio 21 respectively.
Prepare
1The income statement n appropriation account for the year ended 31 may 2006
2The partners current accounts for the year ended 31 may 2006 n
The balance sheet. As at 31 may 2006.
Q2the plant and machinery cost account of a company is shown below.the companyâs policy is to charge depreciation at 20% on the straight line basis,with proportionate depreciation in years of acquisition and disposal.
PLANT AND MACHINERY-COST
2005 $
1 jan balance 280,000 30 june transfer disposal 14,000
1 april cash 48,000 1 sep cash 36000
31 dec balance 350,000 ----------
-------- 364000
364000
what should be the depreciation charge for the year ended 31 dec 2005?
Q3MCQ
The following information relates to P ltd at 30 sep
2003 2002
$000 $000
stock of raw materials 60 40
work in progress stock 50 85
stock of finished goods 20 28
for the year ended 30 sep 2003
$000
purchases of raw materials 710
manufacturing wages 42
factory overheads 360
the prime cost of production in the manufacturing account for the year ended 30 sep 2003 is
A690,000
B732,000
C1,092,000
D1,135,000
- kamranACA - 04-15-2007
Mashallah. Is this a forum to solve these questions. I have helped you some days before but in my view you should concentrate on your classes and contact your teachers.
Kamran.
- Muhammad Amir - 04-15-2007
i think this one is of Frank wood
- darenatto - 04-16-2007
<blockquote id="quote"><font size="1" face="Verdana, Tahoma, Arial" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by Muhammad Amir</i>
<br />i think this one is of Frank wood
<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">
Please Please Please help me on this one.At least please prepare adjusted trial balance.
[email protected]
- msc286 - 04-16-2007
Good advice by Mr. Kamran but I can help you out for the second question, only this time )
Q2the plant and machinery cost account of a company is shown below.the companyâs policy is to charge depreciation at 20% on the straight line basis,with proportionate depreciation in years of acquisition and disposal.
PLANT AND MACHINERY-COST
2005 $
1 jan balance 280,000 30 june transfer disposal 14,000
1 april cash 48,000 1 sep cash 36000
31 dec balance 350,000 ----------
-------- 364000
364000
what should be the depreciation charge for the year ended 31 dec 2005?
Opening Balance ==> Full Year's Depreciation will be charged on 266,000 (280,000 - 14,000)= 53,200
On 14,000 (Disposal) Depreciation would be for six months (14,000 x 20% x 6/12)= 1,400
On April Acquisition of 48,000 for 9 months (48,000 x 20% x 9/12) = 7,200
On September Acquisition of 36,000 for 4 months (36,000 x 20% x 4/12) = 2,400
So the total depreciation for the year ended 31 Dec 2005 would be 64,200 ( 53,200 + 1,400 + 7,200 + 2,400)