Problem
Desmond provides the following account balances as at 30 June 2022:
|
Account Name
|
$
|
|
Cash at Bank
|
61,900
|
|
Accounts Receivable
|
20,700
|
|
Plant and Equipment
|
57,500
|
|
Accumulated Depreciation - Plant and Equipment
|
15,000
|
|
Accounts Payable
|
19,400
|
|
Loan Payable (2026)
|
20,000
|
|
Capital - D. Davies
|
71,000
|
|
Sales Revenue
|
256,000
|
|
Revenue from installation services
|
78,000
|
|
Cost of Sales
|
135,000
|
|
Rent expense
|
59,000
|
|
Depreciation expense
|
2,500
|
|
Insurance expense
|
4,200
|
|
Wages expense
|
78,600
|
Additional Information: During the year, Desmond withdrew $30,000 for personal use.
Task
1. Construct a Statement of Profit or Loss for Desmond's Doors for the year ended 30 June 2022.
2. Construct a Balance Sheet for Desmond's Doors as at 30 June 2022.