so LE TRADER: TRADING AND PROFIT AND LOSS ACCOUNT TRADING AND PROFIT AND LOSS ACCOUNT FOR THE YEAR/PERIOD ENDED Sales Less Sales returns Net sales Opening stock Purchases Carriage in Less Purchases returns Net purchases Less Closing stock Cost of sales Gross profit (a) - (b) Add income: eg Discounts received Reduction in provision for doubttul debts Bad debts recovered Profit on sale of fixed assets () + (@) Less expenses: eg Vehicle running expenses Rent Rates Heating and lighting Telephone Salaries and wages" Discounts allowed Carriage out Provision for depreciation of fixed assets Loss on sale of fixed assets Bad debts written off Increase in provision for doubtful debts Net profit (e) - () * Wages are fe sometimes listed as an expense in the trading account (b) (c) (@) 0) (9) Scanned with CamScannerSec eetaeeeaaeaeereees SOLE TRapeR: BALANCE SHEET | BALANCE sHEET | : book value (a) ~ ( Fixed Assets ost (a) Prov for depin(D) Net . | £ Premises Equipment Vehicles ete Current Assets Stock Debtors — | Less provision for doubtful debts | Prepayment of expenses Accrual of income Bank/cash Creditors Accrual of expenses Prepayment of income Bank overdraft | P (a) Less Current Liabilities Net Current Assets or Working Capital (d) — (e) (+ Less Long-term Liabilities Loans NET ASSETS (g) — (h) FINANCED BY Capital Opening capital ‘Add Net profit (from profit and loss account) Less Drawings Note: balance sheet balances at points (i) Scanned with CamScannerPurchases and sales Returns inwards Returns outwards Discount allowed Discount received Interest Office equipment Stock (1 July 2001) Cash Debtors and creditors 11,710 Capital 52,000 Drawings asT6 Additional information: Stock on 30 June 2002 was valued at $9,500. You are required to prepare the: (a) Trading Account for the year ended 30 June 2002 showing the cost of sales; (b) Profit and Loss Account for the year ended 30 June 2002; ” (Balance Sheetas-a¢30 fune 2002 Scanned with CamScanner2002: The follows following Trial Balance is extracted from the books of foe on 31 December ‘Trial Balance as at 31 December 2002 Capital Furniture and: fittings Purchases and ‘sales Returns. ‘Stock (1 January 2001) Debtors and credit Motor: 7 g Additional information: Stock on 31 December 2002 was valued at $13,456. You are required to prepare the: (a) Trading Account showing the cost of sales; (b) Profit and Loss Account for the year ended 31 December 2002; ()Belance Steet asat St December 2002. Scanned with CamScanner2.—__The following Trial Balance is extracted tram the books of M Trial Balance as at 30 June 2002 Debit Credit 7 $ Premises 40,000 rs and fitings 10,000 fo Mortgage on premises Purchases and sales 40,950 (es Debtors and creditors 3,400 — Motor vehicles 21,000 Returns inwards and outwards 200 on Commission expense and revenue 2,700 1,040 Carriage inwards 1,750 Stock (1 January 2002) 8,000 Carriage outwards 3,260 Wages 5,900 Insurance 350 Rent 3,000 Bank 3,650 Cash 340 Capital 28,560 Drawings 700 139,050 139,050 Stock an 30 June 2002 was valued $10,000. fou are required to prepare the: a) (o) (c) Trading Account showing the cost of sales; Profit and Loss Account far half year ended 30 June 2002; Balance Sheet as at 30 June 2002. Scanned with CamScannerThe toil Owing ended 34 ate trial balance of CJL Car Gare Centre w. ay 2004, as prepared for the year co Fijeh elma on of dr Hbyrs0g Gash in hand Debit (8) Credit ($8) Bank 1500 Stock. 176/01 10 500 Sales 26 000 Sales re 226 00 Ss return ‘3 0) Discount received 2 100 Commission received + 200 Property 420 000 Furniture and fittings 135 000 Equipment 190 300 Motor vehicles 98 000 10-year bank loan 320 000 Debtors $5. 000 Creditors 38.900 Drawings 15 000 Purchases 200 000 Purchases returns 1598 Discount allowed 1 600 Payroll 6 300 Electricity 5 000 Cleaning & maintenance 1 100 Telephone 6 500 General expenses 8700 Capital 629 852 1 222 650 t 222 650 Closing stock at the end of the year $56 800. prepare CJL Car Centre Trading, Profit and Luss Account for period ended 31 May 2004 anda classitied Balance Sheet as at that date. Scanned with CamScanner