Question

You have already started preparing the year-end accounts and have summarised the following information relating to aspects of the business over the year ending 31 December 2019. This is shown on the next page. Further information a. You do not currently have access to the bank account system, so you should prepare the draft accounts using the amount of cash or overdraft as an item to make the Statement of Financial Position balance. b. The corporation tax rate which applies for the end of the year is 19%. c. The company calculates depreciation on the Manufacturing Equipment using the Reducing Balance method. The original cost of the Manufacturing Equipment that was owned at the start of the financial year was £350,000. This is to being depreciated over a 10-year term, to a residual value of £50,000. d. During the year, the Land and Premises was revalued to a value of £250,000 Dividends Paid over the year verlory end of year Inventory at start of year Land and Premises at start of year Manufacturing Equipment at start of ye New Loan taken out over year Purchase of additional manufacturing equipmen Purchases of inventory Revaluation Reserve at start of year B2 1127000 14.750 5.000 104200 34.000 375.000 Trade Payabiles at end of year 345€ Trade Receivables at end of year Trade Receivables at start of yea Prepare a Statement of Comprehensive Income for the end of the vear 1141

Can you answer in this format please.

Answer 1

Particulars	Amount
Revenue	434200
Cost of sales (W.N1)	114061
Gross Margin	320139
Other operating income
Distribution costs	34000
Other administrative expenses	26000
Total	60000
Operating profit	260139
Finance income	37
Finance costs	2640
Profit before tax	257536
Taxation	48931.84
Profit after tax	208604
Other comprehensive income
Gain on revaluation	11000
Total comprehensive income	219604

W.N.1 Cost of sales
Particulars	Amount
Opening inventory	36841
Purchases	112000
Less: Closing inventory	-$34780
Cost of Sales	114061