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The assets and liabilities of S Harrison as at 30 June 2012 are:
On 1 July 2011 when the business commenced, Harrison owed $58,000 on the land and buildings and $1,200 on the plant, which cost $5,200. At this time Harrison had no other assets or liabilities except $300 in the bank and $2,700 of stock. During the year drawings for personal use totalled $800 cash and goods of $90. Prepare a statement to determine profit for the year.
The holder of a corporate debt instrument is preferred to equity shareholders in the bankruptcy proceedings. However, secured/senior creditors are preferred to no
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