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During the year ended 30 June 2020, a company makes cash sales of $25,000 and credit sales of $50,000 (with 70% of the receivable collected at year end). It pays $40.000 in expenses (of the $40.000 paid 56,000 related to wages payable as at the end of the previous financial year) and owes $8.000 for services it received in June 2020 but are payable in July 2020. It declares and pays $15,000 in dividends.
Problem 1: What is the accrual profit for the year ended 30 June 2020?
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