| 1.64 | Unnamed: 1 | Unnamed: 2 | Unnamed: 3 | Unnamed: 4 | SOLUTION |
|---|---|---|---|---|---|
| Deeview Traders PLC | |||||
| Income Statement and Appropriation Account for the year ended 31 March Year 7 | |||||
| £OOO | £OOO | £OOO | |||
| Sales Revenue | 500 | ||||
| Less Sales Returns | 15 | ||||
| Net Sales Revenue | 485 | ||||
| Less Cost of Sales | |||||
| Opening Inventory | 35 | ||||
| Add Purchases | 120 | ||||
| Less Purchases Returns | 0 | 120 | |||
| 155 | |||||
| Add Carriage In | 0 | ||||
| 155 | |||||
| Add Warehouse Wages (120x25%) | 30 | ||||
| 185 | |||||
| Less Closing Inventory (24+1) | 25 | ||||
| COST OF SALES | 160 | ||||
| Gross Profit | 325 | ||||
| Less Expenses | |||||
| Office and Selling Wages (120x75%) | 90 | ||||
| Rent | 30 | ||||
| Bad Debts | 25 | ||||
| Directors' Fees | 38 | ||||
| Advertising (34-2) | 32 | ||||
| Debenture Interest (3+3) | 6 | ||||
| Depreciation - Machinery (10%x250) | 25 | ||||
| Depreciation - Vehicles (50-10=40x25%) | 10 | ||||
| Audit Fees (0+4) | 4 | ||||
| Increase in BDP (3-1) | 2 | 262 | |||
| 63 | |||||
| Add Other Income | |||||
| Discount Received | 1 | 1 | |||
| Profit for the Year (before Corporation Tax) | 64 | ||||
| Less Corporation Tax (25%) | 16 | ||||
| Profit for the Year (after Corporation Tax) | 48 | ||||
| Add Unappropriated Profit | 50 | ||||
| 98 | |||||
| Transfer from General Reserve | 30 | ||||
| 128 | |||||
| Less | |||||
| Interim Ordinary Dividend | 8 | ||||
| Final Ordinary Dividend | 12 | 20 | |||
| Preference Dividend (7%x100) | 7.000000000000001 | ||||
| Goodwill Write Down | 35 | 62 | |||
| Unappropriated Profit | 66 | ||||
| Deeview Traders PLC | |||||
| Statement of Financial Position as at 31 March Year 7 | |||||
| COST | DEPN | NBV | |||
| £OOO | £OOO | £OOO | |||
| Non-Current Assets | |||||
| Machinery (35+25) | 250 | 60 | 190 | ||
| Vehicles (10+10) | 50 | 20 | 30 | ||
| Property | 140 | 35 | 175 | ||
| Intangible Assets: Preliminary Expenses | 5 | ||||
| Intangible Assets: Goodwill (35-35) | 0 | ||||
| 400 | |||||
| Investments | 0 | ||||
| 400 | |||||
| Current Assets | |||||
| Closing Inventory | 25 | ||||
| Trade Receivables | 140 | ||||
| Provision for Bad Debts | 3 | 137 | |||
| Cash and Cash Equivalents (33-7) | 26 | ||||
| Advertsing Receivable | 2 | ||||
| 190 | |||||
| Current Liabilities | |||||
| Trade Payables | 14 | ||||
| Audit Fees Payable | 4 | ||||
| Debenture Interest Payable | 3 | ||||
| VAT | 12 | ||||
| Corporation Tax Payable | 16 | 49 | |||
| Working Equity | 141 | ||||
| Net Assets Employed | 541 | ||||
| Non-Current Liabilities | |||||
| 10% Debentures | 60 | 60 | |||
| Net Assets | 481 | ||||
| EQUITY | |||||
| 200,000 Ordinary Shares of £1 each | 200 | ||||
| 100,000 7% Preference Shares of £1 each | 100 | 300 | |||
| Reserves | |||||
| Unappropriated Profit | 66 | ||||
| Share Premium | 30 | ||||
| General Reserve (80-30) | 50 | ||||
| Revaluation Reserve | 35 | 181 | |||
| 481 |