Solution 6.6 – Tony Smith
Income statement for year ended 31 October
|
|
€ |
€ |
|
€ |
|
Sales |
|
1,973,000 |
|
|
|
- Returns in |
|
(39,460) |
|
1,933,540 |
|
Less cost of sales |
|
|
|
|
|
Opening stock |
|
90,000 |
|
|
|
Purchases |
1,517,700 |
|
|
|
|
+ Carriage in |
25,000 |
|
|
|
|
- Returns out |
(45,880) |
1,496,820 |
|
|
|
Less closing stock |
|
(120,000) |
|
|
|
Cost of sales |
|
|
|
(1,466,820) |
|
Gross profit |
|
|
|
466,720 |
|
Add Other income |
|
|
|
|
|
Discount received |
|
15,000 |
|
|
|
Rent received |
|
20,000 |
|
35,000 |
|
Less Expenses |
|
|
|
|
|
Advertising |
|
87,562 |
|
|
|
Carriage out |
|
12,600 |
|
|
|
Communications |
|
9,354 |
|
|
|
Discount allowed |
|
7,200 |
|
|
|
General expenses |
|
7,310 |
|
|
|
Insurance |
|
12,704 |
|
|
|
Light and heat |
|
24,000 |
|
|
|
Motor expenses |
|
36,000 |
|
|
|
Rent payable |
|
80,000 |
|
|
|
Wages |
|
290,000 |
|
(566,730) |
|
Net loss |
|
|
|
(65,010) |
Statement of Financial Position as at 31 October
|
Non-current Assets |
€ |
€ |
|
€ |
|
Buildings |
|
|
|
1,188,000 |
|
Furniture & fittings |
|
|
|
237,600 |
|
Vehicles |
|
|
|
100,000 |
|
|
|
|
|
1,525,600 |
|
Current Assets |
|
|
|
|
|
Stock |
120,000 |
|
|
|
|
Debtors |
164,400 |
|
|
284,400 |
|
|
|
|
|
1,810,000 |
|
Capital and Liabilities |
|
|
|
|
|
Capital |
|
|
|
1,744,570 |
|
Profit & loss |
|
|
|
(65,010) |
|
Drawings |
|
|
|
(71,110) |
|
|
|
|
|
1,608,450 |
|
Current Liabilities |
|
|
|
|
|
Creditors |
126,900 |
|
|
|
|
Bank |
24,650 |
|
|
|
|
Loan |
50,000 |
|
|
201,550 |
|
|
|
|
|
1,810,000 |