Please solve the following exercises:
Exercise 1. The following information is available for company ABC as of 31December N:Land 500Additional paid in capital (share premium) 150Advance payments to suppliers (from which for inventories 200) 300Licenses 50Customers 600Prepayments 80Legal reserve 70Dividends payable 100Depreciation of plant and machinery 50Investments in associates 700Issued capital paid in (Share capital paid in) ??Sundry debtors 100Raw materials 60Plant and machinery 700Long term bank loans (of which becoming due in less than one year 150) 525Write downs of raw materials 5Cash at bank 30Provisions for guarantees to customers 500VAT payable 50Long term receivables 100Buildings 300Development costs (assets recognition criteria are fulfilled) 100Other reserves 700Salaries payable 200Depreciation of buildings 50Short term bank loans 150Finished goods 180Profit for the period 250Advances received from customer 100Short term financial investments 150Suppliers payable 100Bills of exchange payable 30Other taxes payable 50Deferred income 100
Required:a. Draw up the balance sheet b. Calculate issued capital (paid in capital).
Exercise 2. Using the following elements prepare an income statement by function and by nature (you must obtain the same result with both methods.
a. Personal expenses 650
a.1. for production 400
a.2. for distribution 150
a.3. for administration 100
b. Interest expenses 40
c. row material expenses 150
d. income tax expenses 150
e. merchandise expenses 10
f. consumable expenses 300
f.1. for production 200
f.2. for distribution 70
f.3. for administration 30
g. Finish goods revenues 1.400
h. Other op expenses.210
i. Financial expenses 46
j. Other taxes expenses 20
k. Finish goods -31.12.N 200
l. Costs CSS 210:
l.1. for production 130
l.2. for distribution 50
l.3. for administration 30
m. INTEREST REVENUE 60
n. Services expenses 10
o. other financial revenue 10
p. seles revenue 50
q. depreciation expenses 250
q.1. for production 180
q.2. for distribution 20
q.3.for administration 50
r. revenue from dividends 120
Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.
You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.
Read moreEach paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.
Read moreThanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.
Read moreYour email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.
Read moreBy sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.
Read more