2020 NAS 3E POA EOY P2 Q1
1 Belle owns Beautiful Homes, a business which provides interior design services. The following trial balance was extracted from the business’ books on 31 July 2020.
Dr ($) | Cr ($) | |
Bank loan | 50 000 | |
Capital 1 August 2019 | 17 120 | |
Cash at bank | 2 460 | |
Cash in hand | 180 | |
Commission | 7 800 | |
Design fees | 213 500 | |
Discounts | 3 210 | 90 |
5 400 | ||
Fixtures and fittings | 9 350 | |
Insurance | 4 200 | |
835 | ||
Leasehold property | 192 000 | |
Office equipment | 26 400 | |
Office supplies | 925 | |
Rental | 49 500 | |
Trade receivables and trade payables | 12 340 | 2 760 |
Utilities | 4 790 | |
Wages and salaries | 83 600 | |
343 230 | 343 230 |
Additional information
1. 25% of the bank loan is due for repayment on 28 February 2021.
2. Commission earned for the year was $8 250.
3. Design fees included $16 300 for interior design services to be provided in August to December 2020.
4. Insurance was paid for 15 months up to 31 October 2020.
6. Wages and salaries of $5 700 was owing on 31 July 2020.
7. During the year, Belle paid a utility bill of $640 for the business via electronic funds transfer from her personal bank account. She also issued a business cheque of $1 800 for her household expenses. Both transactions were not recorded.
REQUIRED
a. Prepare the statement of financial performance for the year ended 31 July 2020.
[9]
b. Prepare the statement of financial position as at 31 July 2020.
[11]
[TOTAL 20]