Topic
ACC10007 Financial Information for Decision Making
Subject
Business, Accounting & Economics
Date
24th Jun 2025
Pages
2
ACC10007 Financial Information for Decision Making
Ben Graham owns the formalwear hire shop 'Suit Up'. The balance sheet as at 31st December 2020 is given below:
Over the financial year the follow transactions occurred:
|
Credit purchases of stock |
$25,000 |
|
Cash sales |
$22,000 |
|
Credit sales |
$31,000 |
|
Paid wages |
$10,000 |
|
Paid accounts payable |
$26,000 |
|
Collections from accounts receivable |
$25,000 |
|
Paid interest on loan |
$750 |
|
Repaid loan principle |
$4,500 |
|
Owner’s drawings |
$3,000 |
|
Depreciation of fixtures & fittings |
$2,000 |
Other information
Accrued expenses as at 31stDecember 2020 relate to wages owing.
Stock at 31st December 2021 $ 8,000