please write in a table 6. Following is the trial balance of Pure Gold Enterpris
ID: 2391473 • Letter: P
Question
please write in a table
6. Following is the trial balance of Pure Gold Enterprise as at 30 June 20X7: Debit Credit Sales Purchases Sales returns Purchase returns Beginning Inventory Provision for bad debts Wages and salaries Insurance Expense Telephone charges Equipment at cost Van Debtors and creditors Bad debts Capital Bank Drawings RM 400,000 350,000 5,000 6,200 100,000 800 30,000 6,000 1,000 40,000 30,000 9,800 200 7,000 179,000 3,000 18,000 593,000 593,000 Additional Information 1. Inventory as at 30 June 20X7 was RM120, 000. 2. Accrued wages RM5, 000. 3. Insurance prepaid RM500 4. The provision for bad debts to be increased to 10% of debtors. 5. Telephone bills outstanding RM220. You are required to: a. Prepare a trading and profit and toss account for the year ended 30 June 20x27 b. Prepare a balance sheet, as at 30 June 20x7.Explanation / Answer
Solution a:
Trading and Profit & Loss Account Pure Gold Enterprises For the year ended June 30, 20X7 Particulars Debit Particulars Credit To Beginning inventory 100000 By Sales 400000 To Purchases 350000 Less: Sales Returns 5000 Less: Purchase returns 6200 Net Sales 395000 Net Purchases 343800 By Ending inventory 120000 To Gross Profit 71200 Total 515000 Total 515000 To Wages and Salaries 35000 By Gross Profit 71200 To Insurance expense 5500 To Telephone charges 1220 To Bad debts 380 To Net Profit 29100 Total 71200 Total 71200Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.