Business Appi Ajay Rawat Ajay Rawat decided to operate a hot dog stand near a footh: during the football season. The financial effects of his it for one week. (2) He deposited fer equipment were purchased for 2110 from a bankrupt concen: a cheque was issued in payment (Merchandise was purchased from Ranjan worth £305; Rawat paid £100 (by cheque) and promised to pay the balance on Monday after 1e merchandise was sold for cash onthe fist Saturday, and Mr Rawat deposited the total receipt (£650) in his bank account. would have a cash value of 47 which was the intended t (On Monday, Ques 3. Prepare an income statement for the period that ended on Monday night2. Dawn Department Shop Vihaan runs a department store called Dawn Department Shop in Chamba town of Jammu and Kashmir. The business was handed over to him by his father Gautam after deciding to retire, Vihaan is a young and energetic graduate in commerce, and also holds a business degree in managing small and medium enterprises. Within two years of his joining the firm, Dawn Department Shop registered an annual ‘growth of 20%, With this business success, he decided to purchase 15,000 ‘square feet space in the nearby building. For this purpose, he approached the J&K Bank. The Bank Manager, Rashida Ahmed, asked him to furnish a statement of financial position. As part of the expansion plan, Vihaan arranged interviews for filling up the position of an accountant. Suma Koshy had applied for the position of accountant, and on recruitment, Vihaan handed over the following information to Suma, requesting her to do the needful. a moe ‘Accounts payable 70.200 [Accumulated dopreciation — L Building 2,800 ‘Accounts receivable 7,600 | Accumulated depreciation — Equipment 3.400 Deposits payable 12,000 | Building 14,000 Cash 6,240 | Share capital 20,000 Trademark registered 4,240 | Equipment 30,400 {aventory £8,000 |Investmentin shares of Colgate Palmotive 4,000 Investment in J8K ‘Small shop measuring 230 Government securities square feet 11600 (withdrawable) 3.280 Past years’ accumulated | 17,640 | Prepaid rent 240 profit Loan from Mis. Vinaan 10,000 | Revenue received in advance 560 Que Imagine you are Suma and prepare a statement of financial position,