want to submit a question to be solved on trial balance
The following were extracted from the records of Joe, Bill and kate as at 31 dec 2009.
capital account: joe 180,000
bill 120,000
kate 60,000
current account: joe 7,000
bill (5,000)
kate 3,000
bad debt provision 10,000
bank 25,000
creditors 350,000
debtors 230,000
land 600,000
motor vehicle at cost 200,000
provision for depreciation: land 120,000
motor vehicle 80,000
drawings 100,000
office expenses 40,000
salaries 140,000
rate and insurance 40,000
gross profit for the year 750,000
stock 31/12/2008 350,000
Additional information:
1. Depreciation is to be charged as follows:
land 5% per annum on cost
motor vehicle, 20% per annum on residual value
2. Rate was prepaid in the sum of 20,000
3. A bad debt of 6,000 is to be written off while provision of 5% of the debts is to be made
4. Salaries and wages include a sum of 30,000 paid to kate.
Using the above information, please prepare a trial balance for the year ended 31/12/2009
