Pro-forma accounts under trustee act-trusts laws and account, Financial Accounting

Assignment Help:

Pro-forma accounts under Trustee Act

I.       PRO-FORMA BALANCE SHEET

 

                                                 Fixed Interest investments                                                                                 Shs'000

                                                 (detailed)                                                                                  2,120

                                                 Cash at bank                                                                                900                          3,020

 

                                                 Wider range investments

                                                 (detailed)                                                                                  5,450

                                                 Cash at bank                                                                                550                          6,000

 

                                                 Special range investments

                                                 (detailed)                                                                                                                        500

 

                                                 Cash at bank

                                                 (income)                                                                                                                           30

                                                                                                                                                                                    9,550

                                                 Estate Capital account

                                                 Fixed interest range                                                                  3,020

                                                 Wider range                                                                              6,000

                                                 Special range                                                                                500

                                                                                                                                                                                    9,520

 

                                                 Estate Income account                                                                                                30

                                                                                                                                                                                    9,550

 


II. PRO-FORMA ESTATE CAPITAL ACCOUNT

 

                          Fixed        Wider    Special                           Fixed     Wider    Special

                       Interest                                                         Interest

                        Shs'000     Shs'000   Shs'000                          Shs'000 Shs'000   Shs'000

 

Contra                                                                  Bal b/f         4,800     5,300       1,100

(transfer of

Special Range

realisation                                                              Investment

proceeds                                                               Account

equally to

fixed interest                                                          (profit on

and Wider                                                             disposal of

Range)                                                    700         Special Range

                                                                            investments)                                100

 

Investment

Account                                                               Contra

 

(loss on                                                                 (transfer of

disposal of                                                            Special Range

fixed Interest                                                         realisation

Range                                                                   proceeds

Investments)             40                                         equally

                                                                            to Fixed

                                                                            Interest

                                                                            and Wider

                                                                            Range              350        350

 

Distribution                                                         Investment

Account                                                               Accounts

Accounts

 

 

(distribution of proceeds                                               (revaluation of

of realisation                                                          investments in

Fixed Interest                                                        order to

Investments                                                          ascertain share

to person                                                              attribute

absolutely                                                              to beneficiary

entitled)                2,380                                         absolutely

Bal.c/d                 3,020         6,000          500         entitled)           290        350

                            5,440         6,000       1,200                              5,440     6,000       1,200

 

                                                                            Bal.b/d         3,020     6,000          500


III.  PRO-FORMA ESTATE CASH BOOK

 

                          Fixed        Wider   Income                            Fixed    Wider   Income

                       Interest                                                         Interest

 

                        Shs'000     Shs'000   Shs'000                          Shs'000 Shs'000   Shs'000

 

Balance b/f           100            200            50         Estate

                                                                            Income a/c

 

                                                                            (payment on

                                                                            account to

Investment a/c                                                    life tenants)                                  620

 

(realisation of

Special Range                                                         Distribution a/c

Investments to

be re-invested                                                        (payment of

equally in                                                               capital due to

Fixed Interest                                                        beneficiary

and Wider                                                             absolutely

Range)                    350            350                        entitled)         2,380

 

Investment a/c

 

(income                                                                 Bal.c/d             90        550           30

received on

Fixed Interest

and Wider

Range

Investments)                                           600

 

Investment a/c

 

(disposal of

Fixed Interest

investment)           2,020                                                                                                 

                            2,470            550          650                              2,470        550          650

 

Bal.b/d                    90            550            30

 


Related Discussions:- Pro-forma accounts under trustee act-trusts laws and account

Determining the future value, Let us assume that you deposit Rs.1000 in a b...

Let us assume that you deposit Rs.1000 in a bank that pays 10 percent interest compounded yearly for a period of 3 years. The deposit will grow as given details: Fir

Depriciation , an asset has a useful life of 4 years.If it is depriciated b...

an asset has a useful life of 4 years.If it is depriciated by diminishing balance method.Its book value at the end of 4 years is 24% of its original cost.Hence the rate of depricia

Capital expenditure as a percentage of total asset, Analyze one completed M...

Analyze one completed M&A transaction from recent times There are two main requirements (1) an analysis of the strategic and economic rationale behind the merger, and (2) an analy

Explain the accounting treatment , This is a research case.  You must compl...

This is a research case.  You must complete this assignment INDIVIDUALLY.  This means no help from other students.  You may consult Dr. Eldridge while you are working on this case.

Idiosyncratic risk of the stock, (a)   The market considers Intel Corp (INT...

(a)   The market considers Intel Corp (INTC) of all these stocks to be the riskiest since it has the highest beta of 1.497408. No, this measure of risk does not include the idiosyn

SOURCES OF FUNDS, In spite of the ordinary shares ranking last in terms of ...

In spite of the ordinary shares ranking last in terms of assets sharing in the event of liquidation, they attract more investors than any other type of shares. Why do you think thi

their yield to maturity, Thatcher Corporation's bonds will mature in 12 ye...

Thatcher Corporation's bonds will mature in 12 years. The bonds have a face value of $1,000 and an 11.5% coupon rate, paid semi-yearly. The price of the bonds is $1,050. The bonds

The most common critical point for recognizing revenue, for a typical manuf...

for a typical manufacturing company, the most common critical point for recognizing revenue is the date a an order is recieved b. production is completed c the product is delievere

calculate a weighted average contribution margin per unit, Part A   ...

Part A   The contribution margin income statement of Nice Cup Company for 31 December 2011 follows: Nice Cup Company   Contribution Mar

Find the price of a treasury bond , The time t= 0 continuously compounded...

The time t= 0 continuously compounded term structure of interest rates is given by R(0 , T) = 0. 05 - 0. 005 e - 0.10 T . Find the price of a Treasury bond with exactly 3

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd