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Painter Led - trial balance as at 30 April 2018 DR CR FOOD Revenue 12, 823 Inventories at 1 May 2017 5.98 Purchases 2, 184 Distribution costs 869...

Can you help me to Prepare the journal entries necessary for the above note (1-8), and Prepare Painter Ltd.'s statutory Statement of profit or loss for year ended 30th


April 2018 and statutory Statement of Financial Position as at that date incorporating the journals from part A, thank you!!

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Painter Led - trial balance as at 30 April 2018
DR
CR
FOOD
Revenue
12, 823
Inventories at 1 May 2017
5.98
Purchases
2, 184
Distribution costs
869
Sales team commission
150
Administrative salaries
278
Manufacturing wages
36.9
Finance costs
21
Administrative expenses
414
5% Debenture loans
700
Equity share capital Eleach
1, 500
Share premium
715
Retained earnings at 1 May 2017
623
Cash
421
Land
8, 820
Revaluation reserve at 1 May 2017
500
Trade Payables
850
Buildings at cost
4, 000
Buildings - Accumulated depreciation
1, 000
Plant and equipment
1, 000
Plant and equipment - Accumulated depreciation
320
Trade receivables
950
Allowance for irrecoverable debts
30
19, 482
19, 482
You are given the following information in respect of the company at 30 April 2018
1 .
Inventory at 30 April 2018 has been valued at cost at $ 420, 000 . However ,
this includes some damaged inventory which had cost $5 5 ,000 but which
has a net realisable value of $ 48 , 000 .
2
The cost of new equipment purchased on 1 January 2017 for $60 , 000 has
been included in the purchases figure of $2, 184, 000 .

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3 .
Depreciation is to be provided for the year to 30 April 2017 as follows :"
Buildings 10% per annum straight line basis*
Plant and Equipment 25% per annum reducing balance basis
Office equipment at 20 per cent per year on the straight line basis ."
with proportionate depreciation in the year of purchase but none in
the year of sale .
4 .
Heating and lighting to be accrued is $80 , 000 .
5 .
The second half year's debenture interest is to be accrued
6 .
An irrecoverable debt of $165, 000 which is included in trade receivables is to
be written off .
7 .
In addition to the irrecoverable debts to be written off , some receivables are*
in financial difficulties and the directors of Painter Led think it prudent to make*
an allowance for receivables equivalent to 6% of remaining receivables .
8 .
Corporation tax for the year is estimated at $6 75 , 000 .
Required
a ) Prepare the journal entries necessary for the above note ( 1 - 8 )
[12 Marks ]
b ) Prepare Painter Led . 's statutory Statement of profit or loss for year ended 30th
April 2018 and statutory Statement of Financial Position as at that date*
incorporating the journals from part A

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