Q1.

Trial balance of Olivia Boulton, as at 31 December 2020

  Dr Cr
  £ £
Opening Inventory 50,000  

Purchases 420,000  
Sales   557,500
Business expenses 6,200  

Wages 33,500  
Rent 750  
Calling expenses 500  
Interest 5,000  
Interest   500
Travel 550  
Premises 200,000  
Fittings 40,000  
Receivables 10,100  
Bank 5,850  
Cash 50  
Capital   75,000
Drawings 27,000  
Loan   150,000
Payables   14,500
VAT   2,000
    799,500 799,500
* Closing Inventory: £20,000

Q2.

6.1 The following information has been extracted from the business accounts of Matthew
Lloyd for his first year of trading which ended on 31 December 2020:

Purchases 94,350

Sales 125,890

Inventory at 31 December 2020 5,950

Rates 4,850

Heating and lighting 2,120

Wages and salaries 10,350

Office equipment 8,500

Vehicles 10,750

Receivables 3,950

Bank balance (money at bank) 4,225

 Cash 95

Creditors 1,750

Value Added Tax 450

Capital at start of year 20,000

Drawings for year 8,900

Q3.

Q4.
Q5.

Q6.