| |
Solution 10.3
Income statement Extract
|
|
2001 |
2002 |
2003 |
2004 |
2005 |
|
|
€ |
€ |
€ |
€ |
€ |
|
Gross
profit |
|
|
|
|
|
|
Add
gains |
|
|
|
|
|
|
Bad
debt recovered |
|
5,000 |
|
|
|
|
Reduction
bad debt provision |
|
|
|
100 |
|
|
Less
expenses |
|
|
|
|
|
|
Bad
debts |
|
(35,000) |
(55,000) |
(34,000) |
(25,000) |
|
Increase
bad debt provision |
(7,500) |
(500) |
|
|
(600) |
|
Increase
discount provision |
|
|
|
(4,503) |
(342) |
Statement of financial position Extract
|
|
2001 |
2002 |
2003 |
2004 |
2005 |
|
|
€ |
€ |
€ |
€ |
€ |
|
Debtors |
150,000 |
160,000 |
160,000 |
158,000 |
170,000 |
|
Less
bad debt provision |
(7,500) |
(8,000) |
(8,000) |
(7,900) |
(8,500) |
|
Less
discount provision |
|
|
|
(4,503) |
(4,845) |
|
|
142,500 |
152,000 |
152,000 |
145,597 |
156,655 |
|