Non-profit Making Organization

The following Trial Balance was extracted from the books of Broom Golf Club on 31 July 2009:
£ £
Subscriptions 96,250
Catering inventory at 1 August 2008 14,250
Catering staff wages 8,000
Catering purchases 52,000
Catering sales 110,340
Rent and rates 6,500
Golf club secretary's salary 21,250
Lighting and heating 8,120
Insurance 17,160
General expenses 24,750
Cash at bank 40,995
Cash in hand 125
Accumulated fund 37,310
Equipment (at cost) 30,750
Fixtures and fittings (at cost) 85,000
Accumulated depreciation on golf equipment 15,000
Accumulated depreciation on fixtures and fittings 50,000
308,900 308,900
Additional information:
(1) Depreciation is to be provided for the year ended 31 July 2009 as follows
Equipment - 10% reducing balance
Fixtures and fittings - 25% straight line.

(2) No subscriptions were prepaid or accrued at 1 August 2008.

(3) At 31 July 2009:

General expenses included a prepayment of £1,000
Rent and rates were accrued £930
Subscriptions in arrears amounted to £1,500
Subscriptions prepaid totalled £1,200
Catering inventory was valued at £16,000 at cost.

REQUIRED
Prepare for Broom Golf Club the:
(a) Catering Trading account, showing the profit for the year ended 31 July 2009.
(b) Income and Expenditure account for the year ended 31 July 2009
(c) Statement of Financial Position at 31 July 2009.

Answer Guide: (a) Catering Profit £52,090 (b) Surplus £48,105 (c) £87,545