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Homework answers / question archive / You are provided with Information relating to Samora Sports Limited
You are provided with Information relating to Samora Sports Limited. The company sells sports equipment and repairs equipment for their customers. INFORMATION: 1. Figures extracted from the Pre-Adjustment Trial Balance on 30 June 2020: R 1 200 000 160 000 219 800 39 090 Ordinary share capital Fixed deposit Trading stock Debtors control Equipment (for office and shop) Accumulated depreciation on office and shop equipment Mortgage loan from Credbank Sales 224 000 130 000 281 200 1 680 000 Debtors allowances 17 000 Cost of sales 1 050 000 Service fee income in respect of repair services) 297 140 Rent income 105 000 Interest income 11 200 240 750 Salaries and wages Employers' contributions to Pension Fund (expense) Audit fees 53 890 30 000 Directors fees 230 000 51 100 Consumable stores Bank charges Sundry expenses 5 240 15 910
2. Adjustments and additional information: The auditors have identified the following errors or omissions: 2.1 The auditors are owed a further R28 000 after completing the audit 2.2 Bank charges of R310 reflected on the June 2020 bank statement have not yet been entered in the books. 2.3 The stock count on 30 June 2020 revealed the following on hand: 4 Trading stock, R202 000 . Consumable stores, R900 2.4 The tenant paid the July and August rent in June 2020. The rent was increased by R700 per month on 1 January 2020. 2.5 Provide for depreciation on office and shop equipment at 10% p.a. on the diminishing-balance method. Note that new shop equipment costing R30 000 was purchased half-way through the financial year (this was properly recorded). 2.6 Interest on the loan was capitalised. The loan statement from Credbank on 30 June 2020 reflects the following:
2.6 Interest on the loan was capitalised. The loan statement from Credbank on 30 June 2020 reflects the following: CREDBANK Loan statement on 30 June 2020 R332 800 ? Balance on 1 July 2019 Interest charged Monthly payments to Credbank in terms of the loan agreement (12 months x R4 300) Balance on 30 June 2020 R 51 600 R326 000 The interest expense for the year has not yet been entered in the books. 2.7 A credit note issued to a debtor, A Mona, dated 28 June 2020 was not recorded in the books. The credit note was for: Price reduction on unsatisfactory repair of a tennis racket, R540 2.8 Assume a company tax rate of 30% h Required: Prepare the Statement of Comprehensive Income for the year ended 30 June 2020.
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