Prepare a Statement of Comprehensive Income, a Statement of Changes in Equity and a Prepare a Statement of Comprehensive Income, a Statement of Changes in Equity

ges in Equity and a

Statement of Financial Position. Statement of Financial Position.

NOP plc NOP plc

Trial balance as at 31 December 2018 Trial balance as at 31 December 2018
DEBIT CREDIT DEBIT CREDIT
Bank 10,000.00 Bank 10,000.00
Delivery vehicles-cost 360,000.00 Delivery vehicles-cost 360,000.00
Delivery vehicles-depreciation 133,000.00 Delivery vehicles-depreciation 133,000.00
Disposal 13,000.00 Disposal 13,000.00
Dividend 50,000.00 Dividend 50,000.00
Factory - cost 400,000.00 Factory - cost 400,000.00
Factory - depreciation 22,000.00 Factory - depreciation 22,000.00
General Reserve 100,000.00 General Reserve 100,000.00
Inventory at 1 January 2018 15,000.00 Inventory at 1 January 2018 15,000.00
Machinery - cost 430,000.00 Machinery - cost 430,000.00
Machinery - depreciation 90,000.00 Machinery - depreciation 90,000.00
Office equipment - cost 150,000.00 Office equipment - cost 150,000.00
Office equipment - depreciation 40,000.00 Office equipment - depreciation 40,000.00
Purchases 200,000.00 Purchases 200,000.00
Retained profit 350,000.00 Retained profit 350,000.00
Sales 700,000.00 Sales 700,000.00
Share capital 200,000.00 Share capital 200,000.00
Share premium 215,000.00 Share premium 215,000.00
Trade payables 25,000.00 Trade payables 25,000.00
Trade receivables 60,000.00 Trade receivables 60,000.00
Wages-clerical staff 70,000.00 Wages-clerical staff 70,000.00
Wages-production staff 50,000.00 Wages-production staff 50,000.00
Wages - sales staff 93,000.00 Wages - sales staff 93,000.00
1,888,000.00 1,888,000.00 1,888,000.00 1,888,000.00

1. Inventory was conducted at 31 December 2018 and was valued at 20,000.00 1. Inventory was conducted at 31 December 2018 and was valued at 20,000.00

2. During the year, a piece of machinery that had cost 30,000 and had been depreciated 2. During the year, a piece of machinery that had cost 30,000 and had been depreciated
by 10,000 was sold for 13,000. No entries had been made in respect of this sales, apart by 10,000 was sold for 13,000. No entries had been made in respect of this sales, apart
from a credit to the disposal account in respect of the proceeds. from a credit to the disposal account in respect of the proceeds.
3. Depreciation is to be calculated as follows. 3. Depreciation is to be calculated as follows.
'-factory - 2% of cost '-factory - 2% of cost
'-machinery - 10% of cost '-machinery - 10% of cost
'-office equipment - 20% of cost '-office equipment - 20% of cost
'-vehicles - 25% of book value '-vehicles - 25% of book value

A full year's depreciation is to be charged in the year of acquisition and none in the year of A full year's depreciation is to be charged in the year of acquisition and none in the year of
disposal. disposal.
Note: Reserves are all part of Equity. Note: Reserves are all part of Equity.
The following informtaion was extracted from the financial statements of GHI Ltd:

GHI Ltd
Trial Balance as at 31 December 2019
DEBIT CREDIT
14% debenture stock 500,000.00
Administrative costs 2,700,000.00
Audit fees 42,000.00
Bank 600,000.00
Debenture interest paid 35,000.00
Distribution costs 3,200,000.00
Dividend Paid 160,000.00
Fixtures and fittings - cost 1,500,000.00
Fixtures and fittings - depreciation 400,000.00
Interest received from loan stock 220,000.00
Inventory as at 1 January 2019 2,090,000.00
Investments in loan stock 2,100,000.00
Land and buildings - cost 4,500,000.00
Land and buildings - depreciation 190,000.00
Manufacturing costs 10,880,000.00
Ordinary Share Capital 5,000,000.00
Plant and machinery - cost 2,800,000.00
Plant and machinery - depreciation 1,300,000.00
Rental income 160,000.00
Retained profit 2,900,000.00
Sales 20,467,000.00
Trade payables 870,000.00
Trade receivables 1,400,000.00
32,007,000.00 32,007,000.00

1. Inventories at 31 December 2019 have been valued at 3,100,000.

2. Depreciation for the year has been charged and included in manufacturing costs.
3.Only half the debenture interest for the year has been paid. The remainder should be accrued.

Prepare GHI Ltd's statement of comprehensive income and statement of changes in

equity for the year ended 31 December 2019 and its statement of Financial position as
at that date.