The Balance Sheet of the book wholesaler " Read More Books" owned by John Read, reported assets of $215,500 and liabilities of $93500 as at 1 July 2014.
You are presented with the following extract from the business accounts at 30 June 2015. Note that Information provided represents an extract from the business accounting records only:
Rent Paid and incurred for the year 26000
Account Receivable 30 June 2015 16900
Wages Paid and incurred for the year 84800
Insurance Paid and expired for the year 15050
On 30 June 2015 Purcashed a new book on credit 16300
Payment made to creditors during the year 67000
Book Sales:
On credit 200000
for Cash 25000
Bought Office Stationary:
with Cash 680
on Credit 1420
Additional Information:
-Amounts still owing to suppliers at 30 June 2015 total $33,400
-The firm has no office stationary at the start of the financial period and had $300 of office stationary on hand at 30 June 2015
-The owner withdrew $35000 during the year.
Please prepare Income Statement for the year ended 30 June 2015 and also statement of changes in equity for same period