Reference no: EM132617599

Question - Jayty has not kept proper bookkeeping records, but she has kept notes in a personal note form of her business transactions as at 31 May 2020.

The following transactions relate to financial year ended on 31 May 2019.

Bank 18 200

Cash 1 400

Accounts Receivable and Payable 7 800 and 6 850

Motor Vehicle (Net Depreciation) 22 500

Furniture and Fittings at cost 16 700

Inventory - 31 May 2018 8 490

Prepaid Rent and Accrued Stationery Expense 510 and 150

During the financial year ended 31 May 2020, the following transactions occurred. Paid suppliers N$ 26 400 by cheque and N$ 990 by cash. During the year received N$ 38 800 by cheque and N$ 2 600 by cash. N$ 1 200 set-off was negotiated and granted. During year, customer refund amount to N$ 500. Stationery expense paid during the year was N$ 8 700 and was paid by bank cheque. Rent expense was also paid an amount of N$ 3 420 by cheque. The following expenses were paid by cheque: Transport Expense N$ 750, Telephone Expense N$ 2 150 and General Expense N$ 680, Staff Welfare N$ 500 and by cash Municipal Service N$ 380. Motor vehicle was acquired on 01 June 2018 and is depreciated at 10% per annum, Furniture and fittings was also acquired on 01 June 2019 and depreciated at 10% per annum and both on straight line method and no scrap value.

At 01 June 2020, the following balances still exist in Jayty books

Bank 22 000

Cash 2 630

Rent Expense 540

Stationery Expense 300

Inventory - 31 May 2019 5 540

Drawings - 31 May 2019 16 300

Accounts Receivable and Payable 700 and 1 260

Required -

a) Prepare statement of comprehensive income as at 31 May 2020.

b) Prepare statement of financial position as at 31 May 2020.