Kiangsu-Chekiang College (Shatin)

Life and Society

Form 3
Chapter Quiz 8C

Topic 8: Fundamentals of Accounting

Name: _____________________ Class: _____ ( ) Date: ______________ Mark: _______/12

Below are the details of Anson's business:

$
Accounts receivable 3,456
Cash at bank 4,245
Capital as at 1 July 2022 24,000
Salaries 5,000
Loan from bank (2023 December) 8,500
Commission expenses 20,231
Inventory 5,000
Electricity 1,230
Insurance charges 800
Service income 12,495
Loan from Jeremy (2030) 45,200
Rental income 5,600
Dividend income 1,120
Equipment 35,223
Furniture 17,890
Cash in hand 3,840

Required: Prepare for Anson's business an income statement for the year ended 30 June 2023 and a
statement of financial position as at 30 June 2023.

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END

2
Answer
Anson
Income Statement for the year ended 30 June 2023
$ $
Service income 12,495 0.5
Add Other Revenues:
Rental income 5,600 0.5
Dividend income 1,120 6,720 0.5
19,215 0.5

Less Expenses:
Salaries 5,000 0.5
Commission expenses 20,231 0.5
Electricity 1,230 0.5
Insurance charges 800 27,261 0.5
Net loss (8,046) 1

3
 Anson
Statement of financial position as at 30 June 2023
$ $
Non-current assets
Equipment 35,223 0.5
Furniture 17,890 53,113 0.5

Current assets
Inventory 5,000 0.5
Accounts receivable 3,456 0.5
Cash at bank 4,245 0.5
Cash in hand 3,840 16,541 0.5
Total Assets 69,654 0.5

Financed by:
Capital
Balance as at 1 July 2022 24,000 0.5
Less Net loss for the year (8,046) 0.5
15,954 0.5
Non-current liabilities
Loan from Jeremy (2030) 45,200 0.5

Current liabilities
Loan from bank (2023 December) 8,500 0.5

Total liabilities 53,700 0.5

Total capital and liabilities 69,654 0.5