question archive QUESTION ONE Viatu Ltd, which manufactures footwear, makes up its accounts to 31 March each year
QUESTION ONE Viatu Ltd, which manufactures footwear, makes up its accounts to 31 March each year
Subject:AccountingPrice: Bought3
QUESTION ONE Viatu Ltd, which manufactures footwear, makes up its accounts to 31 March each year. The company has an authorised share capital of Sh. 600,000,000 divided into 15,000,000 6.5% preference shares of Sh. 20 each and 30,000,000 ordinary shares of Sh. 10 each. The following trial balance was extracted as at 31 March 2002. Trial balance as at March 2002 Shooo Shooo Cost of Sales 699,992 Motor vehicle expenses 59,684 Selling and distribution costs 78,840 Depreciation of motor vehicles - for the 12,580 year 95,834 Wages and salaries 11, 492 Administration expenses 1, 400 fees 1,191,86 Sales 4 Discounts received 812 Investment income - trade investments 1,072 others 13,000 1,608 Preference dividends paid 1,600 Debenture interest 8,615 Corporation tax paid - instalment 8,500 Compensation to director for loss of 1,040 office Depreciation of fixtures for the year) 3,000 20,000 8% debentures Cash in hand 11,745 200,000 Ordinary share capital issued and paid- up) 204,132 200,000 Bank balance 336,440 Preference share capital issued and 102,000 paid- up 24,800 3,000 Inventory 31 March 2002) Debtors/ creditor 11,300 14, 400 Deferred tax Motor vehicles net book value) 110,848 Provision for doubtful debts 60,000 Fixtures and fittings net book value) 270,000 40,000 Profit and loss account 1 April 2001) 30,000 General reserves 61,610 Share premium Freehold land and building cost) 1,945,60 Investments - trade market value 4 1,945,60 Sh. 35,000,000) 4 Others market value
