Name of Corporation

Trial Balance
December 31, 2018
Debit Credit Classify Account
Ordinary share capital 400,000 Equity
Share issue cost 13,000 Equity
Preference share capital 500,000 Equity
Retained earnings 50,000 Equity
General reserves 65,000 Equity
Revaluation surplus 100,000 Equity
Sales of goods 1,545,000 Revenue
Sales return & allowances 5,000 Revenue
Cost of sales 942,800 Revenue
Freight inwards 6,000 Revenue
Freight outwards 7,000 Revenue
Services revenue 260,000 Revenue
Gross proceeds on sale of furnitures 20,000 Revenue
Advertising expense 10,000 Expense
Sales staff salaries expense 200,000 Expense
Sales staff vehicle expense 15,000 Expense
Administrative staff salaries expense 193,000 Expense
Sales discount allowed 10,000 Expense
Interest expense 1,200 Expense
Rates expense 15,000 Expense
Carrying amount of office furniture sold 17,000 Expense
Telephone expense 12,500 Expense
Cash 64,000 Asset
Accounts receivable 220,000 Asset
Allowance for doubtful accounts 5,000 Asset
Inventory 250,000 Asset
Prepaid insurance 20,000 Asset
Prepaid rent 18,500 Asset
Land 100,000 Asset
Retail store 500,000 Asset
Motor vehicles 300,000 Asset
Store equipment 60,000 Asset
Office furniture 90,000 Asset
Accumulated depreciation - retail store 100,000 Asset
Accumulated depreciation - motor vehicles 150,000 Asset
Accumulated depreciation - store equipment 15,000 Asset
Accumulated depreciation - office furniture 20,000 Asset
Goodwill 140,000 Asset
Development cost 100,000 Asset
Accounts payable 60,000 Liability
Loan payable 12,000 Liability
GST payable 8,000 Liability
TOTALS 3,310,000 3,310,000
Name of Corporation
Income Statement
December 31, 2018

Sales of goods 1,545,000 1

Less: Sales return & allowances 5,000 1,540,000 1
Less: Cost of sales 942,800 1
Gross Profit 597,200
Add: Other Revenue
Services revenue 260,000 1
Gross proceeds on sale of furnitures 20,000 1
Total Revenue 877,200 1
Freight inwards 6,000 1
Freight outwards 7,000 1
Advertising expense 10,000 1
Sales staff salaries expense 200,000 1
Sales staff vehicle expense 15,000 1
Administrative staff salaries expense 193,000 1
Sales discount allowed 10,000 1
Interest expense 1,200 1
Rates expense 15,000 1
Carrying amount of office furniture sold 17,000 1
Telephone expense 12,500 1
Total Operating Expenses 486,700 1
NET PROFIT 390,500 1
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Name of Corporation
Balance Sheet
December 31, 2018

ASSETS
Cash 64,000 1
Accounts receivable 220,000 1
Less: Allowance for doubtful accounts 5,000 215,000 1
Inventory 250,000 1
Total current assets 529,000
Prepaid insurance 20,000 1
Prepaid rent 18,500 1
Land 100,000 1
Retail store 500,000 1
Less: Accumulated depreciation - retail store 100,000 400,000 1
Motor vehicles 300,000 1
Less: Accumulated depreciation - motor vehicles 150,000 150,000 1
Store equipment 60,000 1
Less: Accumulate depreciation - store equipment 15,000 45,000 1
Office furniture 90,000 1
Less: Accumulated depreciation - office furniture 20,000 70,000 1
Goodwill 140,000 1
Development cost 100,000 1
TOTAL ASSETS 1,572,500 1

LIABIITIES
Accounts payable 60,000 1
Loan payable 12,000 1
GST payable 8,000 1
Total Liabilities 80,000

EQUITY
Ordinary share capital 400,000 1
Less: Share issue cost 13,000 387,000 1
Preference share capital 500,000 1
Retained earnings 50,000 1
General reserves 65,000 1
Revaluation surplus 100,000 1
Net Profit 390,500 1
Total Equity 1,492,500
TOTAL LIABILITIES AND EQUITY 1,572,500 1
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