c Prepare a trial balance as at 31 October 2016 d Journalise the closing

C prepare a trial balance as at 31 october 2016 d

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c. Prepare a trial balance as at 31 October 2016. d. Journalise the closing entries. e. Prepare a statement of profit or loss up to gross profit, assuming inventory on hand at 31 October is $3780. Prepare a fully classified statement of profit or loss. (LO2,4)PSB5.10 Plant Food Ltd in Auckland manufactures and sells a full line of equipment that is used to apply fertiliser. Many of these systems are computer-controlled. This information is available for Make-it-Grow for 2015. Plant Food uses the LIFO inventory cost flow method. (IN THOUSANDS) 2015 Beginning inventory (finished goods) $ 99 894 Ending inventory (finished goods) 101 751 Current assets 134 045 Current liabilities 57 871 Cost of sales 234 959 Sales 322 122 Required a. Calculate inventory turnover, days in inventory and current ratio for Plant Food Ltd. b. Green Thumb Ltd is an Australian-based manufacturer of equipment that is used to apply fertiliser. Green Thumb has an inventory turnover of 8.5 times, days in inventory of 42.9 and a current ratio of 0.8:1. You are an investment adviser providing advice to a client interested in investing in these companies. Write a short report to highlight the differences between the companies in light of the information available in parts (a) and (b) of this question. Record closing entries for the periodic and perpetual inventory methods. (LO11)

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