50.1K

Verified Solution

Link Copied!

Use the information given below to complete the following financial statements:

$1\mathrm{.}1$ Statement of Comprehensive Income for the year ended $29$ February $2024.$

$(12$ marks$)$

$1\mathrm{.}2$ Statement of Financial Position as at $29$ February $2024.($Show the workings in brackets next to the relevant details.$)$

$(8$ marks$)$

Note: Some of the amounts have already been entered in the answer book.

INFORMATION

The following trial balance, adjustments and additional information were extracted from the records of Aerostat Traders for the financial year ended $29$ February $2024$:

AEROSTAT TRADERS

PRE$-$ADJUSTMENT TRIAL BALANCE AS AT $29$ FEBRUARY $2024$

$\backslash$table$[[,$Debit $($R$),$Credit $($R$)],[$Balance sheet accounts section$],[$Capital$,,2449000],[$Land and buildings,$1064000,],[$Vehicles at cost$,2850000,],[$Equipment at cost$,1650000,],[$Accumulated depreciation on vehicles,,$1380000],[$Accumulated depreciation on equipment,,$540000],[$Debtors control$/$Accounts receivable,$480000,],[$Provision for bad debts$/$Allowance for credit losses,,$26000],[$Bank$,358000,],[$Creditors control$/$Accounts payable,,$615000],[$Mortgage loan: Med Bank $(16\%$ p$.$a$.),,1050000],[$Nominal accounts section$],[$Sales$,,7425000],[$Sales returns,$45000,],[$Opening stock,$750000,],[$Purchases$,3900000,],[$Salaries and wages,$1290000,],[$Bad debts,$15000,],[$Stationery$,23000,],[$Rent expense,$345000,],[$Motor expenses,$267000,],[$Bad debts recovered,,$13000],[$Telephone$,93000,],[$Electricity and water,$186000,],[$Bank charges,$37000,],[$nsurance$,81000,],[$nterest on mortgage loan,$154000,],[$Commission income,,$90000],[13588000,13588000]]$

Answer & Explanation Solved by verified expert

See Answer