Income Statement for the year ended 31/12/2020

Sales
Less : Sales returns

Less : Cost of goods sold / Cost of Sales

Opening Stock
Purchases

Less: Closing Stock

Gross Profit

Add : Other Incomes

Less: Expenses

Profit fo rthe year / Net profit

 Statement of Financial Position (Balance Sheet)
Accumulated
Assets Cost Depreciation Carrying value
Non current assets

Current Assets
Closing stock
Trade receivables

Other receivables

Cash at bank
Cash in hand

Total Assets

Capital and liabilities

Capital
Opening capital (invested capital)
Add: Profit for the year
Less : Drawings
Closing capital

Liabilities
Non current liabilities
Bank loans

Current liabilities
Trade payables / creditors
Other payables

Total capital and liabilities

 Income Statement for the year ended 28/2/2017

Sales
Less : Sales returns

Less : Cost of goods sold / Cost of Sales

Opening Stock
Purchases

Less: Closing Stock (20 700)

Gross Profit

Add : Other Incomes

Rent receivable (15 000+3000) 18 000

Less: Expenses
Staff salaries (59700 -8000)
General expenses (14 600 +5000)
Building deprecaition (90 000/20) 4500
Shop fixtures (32 000 x15%) 4800
Computer equipment deprecaition 5400
Bad debts 2500
Doubtful debts (1100-1600) 500

Loan interest (60 000 x8%) 4800

Profit fo rthe year / Net profit

Building 90 000 4500

20
Shop fix 32 000 x15% 4800

60 000-42 000 x30% 5400

 Statement of Financial Position (Balance Sheet) at 28/02/2017
Accumulated
Assets Cost Depreciation Carrying value
Non current assets
Building 90 000 18 000 72 000
Shop fixtures (24 000+8000) 32 000 18 800 13 200
Computer equipment 60 000 47 400 12 600

Current Assets
Closing stock 20 700
Trade receivables (34 500 - 2500) 32 000
Less : PFDD (32 000 x5%) -1600
Other receivables : Accrued rent 3000

Cash at bank (20 500 -8000) 12 500

Cash in hand

Total Assets

Capital and liabilities

Capital
Opening capital (invested capital)
Add: Profit for the year
Less : Drawings (9500+8000) (17 500)
Closing capital

Liabilities
Non current liabilities
Bank loans

Current liabilities
Trade payables / creditors
Other payables ; Accrued interest 4800
Accrued general expenses 5000

Total capital and liabilities

 Income Statement for the year ended 30/4/2017

Sales 447 000

Less : Sales returns (8 650)
438 350
Less : Cost of goods sold / Cost of Sales
Opening Stock 29 350
Purchases 204 400+7500 211 900

Less: Closing Stock (32 450) (208 800)

Gross Profit 229 550

Add : Other Incomes

Rent receivable (8500 +4500) 13 000 13 000
242 550
Less: Expenses
General expenses (31 100+3500 -1800) 32800
Rent (24 000 - 4000) 20 000
MV deprecaition (40 000-12 000) x 20% 5600
Computers deprecaition (55 000 - 17 000) x 25% 9500
Fixtures and fittings (15 000 x10%) 1500
Irrecoverable debts 2700
provision for doubtful debts 700
Wages and salaries 105 600
MV expense 19 200
Heat and light 10 700
Loan interest (80 000 x5%) 4000 (212 300)

Profit fo rthe year / Net profit 30 250

Rent
1/5/2016 30/4/201730/6/2017 24 000- 4000

12 000 2000 x 2 = 4000

6

MV
Ann dep = (cost - acc dep) x%
5600 = (40 000 - 12 000) x 20%
 Statement of Financial Position (Balance Sheet) as at 30/4/2017
Accumulated
Assets Cost Depreciation Carrying value
Non current assets
Motor vehicle 40 000 17 600 22 400
Computers 55 000 26 500 28 500
Fixtures and fittings 15000 5500 9500
60 400

Current Assets
Closing stock 32 450
Trade receivables (44 700 -2700) 42 000
Less : PFDD (42 000 x5%) (2 100) 39 900
Other receivables : Prepaid general 1800
rent receivable 4500
Prepaid rent 4000 10 300
Cash and bank (15 400 -7500) 7900 90 550

Total Assets 150 950

Capital and liabilities

Capital
Opening capital (invested capital) 30 000
Add: Profit for the year 30 250
Less : Drawings (31 050)
Closing capital 29 200

Liabilities
Non current liabilities
Bank loans 80 000

Current liabilities
Trade payables / creditors 36 750
Other payables : Accrued general expense 3500
Accrued interest 1500 5000 41 750

Total capital and liabilities 150 950

24 000- 4000

2000 x 2 = 4000
 Income Statement for the year ended 30/4/2018

Sales 419 000

Less : Sales returns (7 800)
411 200
Less : Cost of goods sold / Cost of Sales
Opening Stock 28 900
Purchases (4000+242 000) 246 000
Add : Carriage inwards 2500
Less: D rawings (4 500)
Less : return outwards (6 200)
Less: Closing Stock (22 500)
Gross Profit

Add : Other Incomes

Rent received 9000 9000

Less: Expenses
Carriage outwards (11500-2500) 9000
Advertising (24 000 -6000) 18 000
Premises deprecaition (100 000 x2%) 2000
Computers depreciation (40 000-15 000) x20% 5000
FF deprecaition (10 000 x10%) 1000
Bad debts 2400
Loan interest (2400 + 1200) 3600
provision for dd (900-1400) 500
Disposal loss 7500
Administration expense 30 000
water and electricity 12 400
Wages and salary 51 600
General expenses 17 400

Profit fo rthe year / Net profit

1/5/2017 30/4/2018

march april may june july

9000 1500 x4 = 6000

6

4800 400 x3 = 1200

12
 Statement of Financial Position (Balance Sheet) as at 30/4/2018
Accumulated
Assets Cost Depreciation Carrying value
Non current assets
Premises 100 000 66 000 34 000
Computers 40 000 20 000 20 000
Fixtures and fittings 10 000 5500 4500

Current Assets
Closing stock 22 500
Trade receivables (37 400 - 2400) 35 000
Less : PFDD (35 000 x 4%) -1400 33 600
Other receivables : Prepaid advertising 6000

Cash at bank(4000-1000)
Cash in hand

Total Assets

Capital and liabilities

Capital
Opening capital (invested capital) 50 000
Add: Profit for the year
Less : Drawings (4500 +20700) (25 200)
Closing capital

Liabilities
Non current liabilities
Bank loans 60 000

Current liabilities
Trade payables / creditors + 3000 22 000
Other payables ; Accrued interest 1200

Total capital and liabilities

aug
 Income Statement for the year ended 30/sep/2018

Sales 265 000

Less : Cost of goods sold / Cost of Sales

Opening Stock 26 000
Purchases 135 000
Less : Goods drawings (4 700)
Less: return outwards (8 200)
Add : Carriage inwards 3 100
Less: Closing Stock (19 500) (131 700)
Gross Profit 133 300

Add : Other Incomes

Rent receivable (8500+150) 8650
Increase in PFDD 2100
Disposal profit 1800 12 550
Less: Expenses 145 850
rent (15 000-3000) 12 000
General expense (17700+2600) 20 300
Wages and salaries (41 000+1700) 42 700
Depreciation on leasehold premises 12 000
Depreaition on MV 10 500
FF depreciation (19 000 x10%) 1900
Loan interest (60 000 x5%) 3000
Bad debts 750
MV expense 6800
heat, light and power 5050
Advertising 9 000 (124 000)

Profit fo rthe year / Net profit 21 850

Rent
June July Aug Sep Oct Nov 9000/6 = 1500 per month
1500 1500 1500 1500 1500 1500

Prepayment = 1500x2 = 3000

SLM = Cost - Rv 120 000 -0 12 000

Useful life 10

RBM = (Cost - accumulated depreciation ) x%

(52 000 - 10 000) x 25% = 10 500
 Statement of Financial Position (Balance Sheet) as at 30/sep/2018
Accumulated
Assets Cost Depreciation Carrying value
Non current assets
leasehold premises 120 000 84 000 36 000
Motor vehicle (40 000+12 000) 52 000 20 500 31 500
Fixtures and fittings 19 000 9500 9500
77000

Current Assets
Closing stock 19 500
Trade receivables (23250 -750) 22 500
Less : PFDD (22500 x4%) -900 21 600
Other receivables ; Prepaid rent 3000
rent receivable 150 3150

Cash at bank (13350-12000) 1350 45 600

Total Assets 122 600

Capital and liabilities

Capital
Opening capital (invested capital) 40 000
Add: Profit for the year 21 850
Less : Drawings (4700 + 11900) (16 600)
Closing capital 45 250

Liabilities
Non current liabilities
Bank loans 50 000

Current liabilities
Trade payables / creditors 23 050
Other payables ; Accrued general expense 2600
Accrued wages 1700 4300 27 350

Total capital and liabilities 122 600

1500 per month
 Leo's Business
Income Statement for the year ended 31/03/2019

Sales 475 000

Less : Cost of goods sold / Cost of Sales

Opening Stock 31 000
Purchases 255 000
less : Goods drawings (3 200)
Less : Purchase returns (7 900)

Less: Closing Stock (26 400) (248 500)

Gross Profit 226 500

Add : Other Incomes

Provision for Dobtful debts (3700-1900) 1800
Commission receivables 12 300 14 100
Less: Expenses 240 600
Computer repairs (21 600 -8000+2100) 15 700
Rent and rates (22 750 +2000 -450) 24 300
Marketing expense (12 600 - 350) 12 250
Bank loan interest (1000+1600) 2600
land and building depreciaiton (75 000 x2%) 1500
Computer depreciaiton (54 000-18000)x20% 7200
Fixtures and fittings deprecaition (12 000 x10%) 1200
Bad debts 4000
Wages and salaries 87 000
Heat and light 9 750
General expenses 14 300 (179 800)

Profit fo rthe year / Net profit 60800

Marketing expense marketing expense 12 600

700 Jan Feb March April

Prepayment
700
6

Bank loan

5% bank loan 20 000 x5% = 1000 2016

1000+1600 = 2600

4% bank loan 60 000 x 4% = 2400 /12 x 8 = 1600

Land and buildin150 000

Land 75 000 Building 75 000

0 SLM Cost x% 75 000 x 20% = 1500

1500 +0 = 1500

Computer (Cost - accumulated depreciation) x 20%

(54 000 - 18000) x20%
7200

FF Cost x%
12 000 x 10%
1200

3700 - 1900 = 1800 Positive IS :other incomes

Negative IS: Expenses
 Leo's business
Statement of Financial Position (Balance Sheet) as at 31/3/2019
Accumulated
Assets Cost Depreciation Carrying value
Non current assets
Land and building 150 000 10 500 139 500
Computers (46 000+ 8000) 54 000 25 200 28 800
Fixtures and fittings 12 000 7800 4200
216 000 43 500 172 500

Current Assets
Closing stock 26 400
Trade receivables (42 000-4000) 38 000
Less : PFDD (38 000 x5%) -1900 36 100
Other receivables : Prepaid rent 450
Prepaid marketing 350 800
Cash at bank 0
Cash in hand 0 63 300

Total Assets 235 800

Capital and liabilities

Capital
Opening capital (invested capital) 80 000
Add: Profit for the year 60 800
Less : Drawings (3200 + 25 000) (28 200)
Closing capital 112 600

Liabilities
Non current liabilities

4% Bank loan (May 2023) 60 000 60 000

Current liabilities
5% Bank loans (june 2019) 20 000
Trade payables / creditors 31 850
Other payables : Accrued rent 2000
Accrued interest (2600-2100) 500 2500
Bank Overdraft (6750 + 2100) 8850 63 200

Total capital and liabilities 235 800

 6 months ended
may june
Prepayment
x3 350

1/4/2018 31/3/2019

1/4/2018 1/8/2018 31/3/2019

Aug Sep Oct Nov
Dec Jan Feb March
 Income Statement for the year ended 30/9/2019

Sales / revenue 326 000

Less : Sales returns (4 300)
321 700
Less : Cost of goods sold / Cost of Sales
Opening Stock 30 000
Purchases (135 000 + 1950) 136 950
Add : Carriage inwards 2700

Less: Closing Stock (35 550) (134 100)

Gross Profit 187 600

Add : Other Incomes

rent receivables (14500+1500) 16 000
Disposal profit 8500 24 500
Less: Expenses 212 100
Carriage outwards (9000 -2700) 6300
Insuarance (2700-200) 2500
Electricity and water (6050 + 750) 6800
Building deprecaition (110 000 x2%) 2200
MV deprecaition (46 000-10 000 x25%) 9000
FF deprecaition (7000x10%) 700
Irrecoverable debts 7000
Doubtful debts (900-1400) 500
wages and salaries 90 000
MV expenses 11 250
Bank loan interest (40 000 x 6%) 2400
Marketing expenses 17 300
General expenses 14 000 (169 950)

Profit fo rthe year / Net profit 42 150

 Statement of Financial Position (Balance Sheet) as at 30/9/2019
Accumulated
Assets Cost Depreciation Carrying value
Non current assets
Land and building 170 000 20800 149 200
Motor vehicle (30 000+16000) 46 000 19 000 27 000
Fixtures and fittings 7000 2100 4900
181 100

Current Assets
Closing stock 35 550
Trade receivables (35 000 - 7000) 28 000
Less : PFDD (28 000 x 5%) (1 400) 26 600
Other receivables : rent receivable 1500
Prepaid insuarance 200 1700
Cash at bank (27 450 - 16 000) 11 450 75 300

Total Assets 256 400

Capital and liabilities

Capital
Opening capital (invested capital) 160 000
Add: Profit for the year 42 150
Less : Drawings (25 000)
Closing capital 177 150

Liabilities
Non current liabilities
Bank loans 40 000

Current liabilities
Trade payables / creditors (36550 + 1950 ) 38 500
Other payables : water payable 750 39 250

Total capital and liabilities 256 400

1/1/2019 12 m 31/12/2019

800
 800 x 3 = 200 prepayment
12

Land and building

Land 60 000
Building 110 000 x 2% = 2200

MV

Annual dep = (Cost - Accumulated dep) x 25%

9 000 = (46 000 - 10 000) x25%

FF

Annual dep = Cost x%

700 = 7000 x10%