The trial balance of Dillydally Ltd at 30 April 2015 is as follows: follows: $ $ Revenue #urchases %nventory at 1 &ay 201$ 'ales sta( salaries and co))ission Ad)inistration salaries +arria,e outwards -eneral e.penses %nterest on debentures -oodwill at cost /reehold pre)ises at cost #rovision #rovision for depreciation of freehold pre)ises Delivery vans at cost #rovision for depreciation of delivery vans ce )achinery at cost #rovision for depreciation of oce )achinery Trade Trade receivables Trade Trade payables +ash and +ash euivalent 100 000 ordinary shares of 1 *0 000 "4 nonredee)able preference shares of 1 104 debentures 201*62020 'hare #re)iu) account -eneral Reserve Retained pro7t brou,ht forward at 1 &ay 201$ %nteri) dividends paid: preference ordinary
!5" 000 $$" 000 32 000 *3 000 5! 000 2$ 000 $5 000 5 000 100 000 2$0 000 !1 000 !5 000 30 000 35 000 10 000 "0 000 $2 000 "" 000 100 000 *0 000 100 000 30 000 $0 000 13 800 2 $00 2500 1 2!2 2!2 800 800 1 2!2 2!2 800 800
Further information 19 %nventory at 30 April 2015: 5$ 0009 29 Depreciation for the year ended 30 April 2015 201 5 is to be provided as follows: /reehold warehouse $000 /reehold oces 12 000 Delivery vehicles: 204 on cost ce )achinery: )achinery: 204 on cost 39 Debenture interest is payable halfyearly on 1 &ay and 1 ove)ber9 $9 #rovision is to be )ade for ta.ation on the year;s pro7ts in the su) of 25 0009
59 A transfer of 20 000 is to be )ade to -eneral Reserve9 "9 The directors have reco))ended a 7nal dividend on the ordinary shares of 0905 per share9 Required
uity for the year ended 30 April 20159
Answer (a) Dillydally Ltd Income Statement for the year ended 30 Aril ?15 Revenue +ost of 'ales: %nventory at 1 &ay 201$ 32 000 #urchases $$" 000 $!* 000 %nventory at 30 April 2015 5$ 000 -ross pro7t 'ellin, and distribution 'ales sta( salaries and co))issions *3 000 +arria,e out 2$ 000 Depreciation9warehouse $ 000 delivery vehicles 15 000 12" 000 Ad)inistration Ad)inistrative salaries 5! 000 -eneral e.penses $5 000 Depreciation: oce pre)ises 12 000 oce )achinery ! 000 121 000 #ro7t fro) operations Debenture interest #ro7t before ta.ation Ta.ation #ro7t for the year attributable to euity holders
!5" 000
$2$ 000 332 000
2$! 000 *5 000 10 000 !5 000 25 000 50 000
b= Dillydally Ltd Statement of !han"es in >uity for the year ended 30 Aril #0% 'hare 'hare +apita Retaine l d capital pre)iu reserv earnin, ) e s &alance at start of 1*0 30 000 $0 000 13800 year 000 #ro7t for the year 50 000 Dividends paid <$ 800= Transfer to ,eneral 20 000 <20 reserve 000= &alance at end of 1*0 30 000 "0 000 38 000 year 000 (c) Dillydally Ltd Statement of Financial 'osition at 30 Aril #0% Assets $ oncurrent assets %ntan,ible -oodwill 100 000 Tan,ible #roperty plant uip)ent 201000 and e 301 000 !urrent assets %nventories 5$ 000 Trade receivables "0 000 +ash and cash "" 000 euivalents 1*0 000 *otal assets $*1 000 +quity and Lia,ilities !aital and reser-es 'hare capital
'hare pre)iu) Reserves Retained earnin,s
1*0 000 30 000 "0 000 38 000
Total euity 2"3 800 50 000 <$ 800= @ 308 000
9 308 000 oncurrent lia,ilities Debentures !urrent lia,ilities Trade payables ther payables +urrent ta. payable
100 000 $2 000 5 000 25 000 !2 000 $*1 000
