Balance sheet and income statement, Financial Accounting

Assignment Help:

The balance sheet and income statement for Bingle Ltd is presented to you as follows:

Balance Sheet Extract as at 30 June 2012 with comparatives

 

 

30 June 2011

$

30 June 2012

$

Current Assets

 

 

Cash

88 000

121 500

Accounts Receivable

110 000

140 000

Provision for Doubtful Debts

-15 000

-20 000

Inventory

  45 000

  50 000

 

228 000

291 500

Non Current Assets

 

 

Land

50 000

125 000

Buildings

200 000

200 000

Accumulated Depn - Buildings

-20 000

-30 000

Plant and Equipment

200 000

210 000

Accumulated Depn - Plant and Equip

 -20 000

 -20 000

 

410 000

485 000

TOTAL ASSETS

638 000

776 500

 

 

 

Current Liabilities

 

 

Trade Creditors

37 000

30 000

Electricity Payable

3 000

5 000

Wages Payable

5 000

10 000

Income Tax Payable

38 000

44 000

 

83 000

89 000

Non Current Liabilities

 

 

Long Term Loans

50 000

65 000

TOTAL LIABILITIES

133 000

154 000

The income statement for the year ending 30 June 2012

 

 

  $

Sales (all on credit)

 

442 500

Less Cost of Goods Sold

 

120 000

Gross Profit

 

322 500

Less Expenses Incurred

 

 

Wages

135 000

 

Interest

5 500

 

Electricity

22 500

 

Doubtful Debts

20 000

 

Depreciation Buildings

10 000

 

Depreciation - Plant and Equip

35 000

228 000

Operating Profit before Tax

 

94 500

Less Taxation Expense

 

42 000

Operating Profit after tax

 

52 500

Required

(i)  Reconstructing all relevant ledger accounts, prepare the operating cash flows section of the cash flow statement to determine operating cash flows for the year ending 30 June 2012.  Show each individual cash flow item separately.

(ii) Prepare a reconciliation of operating profit (after tax) to cash received from operating activities for the year ending 30 June 2012.


Related Discussions:- Balance sheet and income statement

Inter-company transactions and balances, INTER-COMPANY TRANSACTIONS AND BAL...

INTER-COMPANY TRANSACTIONS AND BALANCES As the associate company is not consolidated, care should be taken when there are trading transactions and inter-company balances between

Flow meter in an ongoing operation, You are considering whether to replace ...

You are considering whether to replace an existing flow meter in an ongoing operation. A change in the meter will have not affect revenues but will reduce costs. The existing meter

[email protected], Question 01: (1.1 and 1.3) What is accounting and how...

Question 01: (1.1 and 1.3) What is accounting and how is accounting environment? Question 02: (1.2 and 1.4) Presenting the characteristics of the quality of accounting information

What is stock split, Q. What is Stock Split? Stock Split - Increase in ...

Q. What is Stock Split? Stock Split - Increase in number of shares of a company's COMMON STOCK outstanding that result from the issuance of additional shares proportionally to

What will the t-account of the banking system, Suppose that the Fed buys $1...

Suppose that the Fed buys $1 million of bonds from the First National Bank. If the First National Bank and all other banks use the resulting increase in reserves to purchases bonds

What is depreciation reserve fund, Q. What is Depreciation Reserve Fund ? ...

Q. What is Depreciation Reserve Fund ? Depreciation Reserve Fund is the fund specially reserved for replacement of assets. Once the assets are purchased from the capital money

What is the financial objective of a business, What is the financial object...

What is the financial objective of a business A business is created to enhance wealth of its owners. This may come as a surprise, as there are other objectives which a business

Antitrust laws, Antitrust Laws - Assignment Help One of the foundations...

Antitrust Laws - Assignment Help One of the foundations of business within the United States is the freedom to compete in the marketplace; however, certain laws have been creat

Play money assignment, This assignment requires you to pretend you have $10...

This assignment requires you to pretend you have $10,000 to invest for 4 weeks.  You are to "invest" this money in stocks or mutual funds and to track your investments on a weekly

#title.patnership, AsIDENTIFY THE MAIN PROVISIONS OF THE PARTNERSHIP ACT k ...

AsIDENTIFY THE MAIN PROVISIONS OF THE PARTNERSHIP ACT k question #Minimum 100 words accepted#

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