Reference no: EM13825236
Problem-
You are provided with basic financial information about a fictional company and are asked to prepare three financial statements for the company. You are then required to discuss the financial health and position of the organisation.
Below, you will find two important documents: the opening statement of financial position and a provisional trial balance for the fictional company.
Remember that the trial balance has been prepared at the end of the year, but note that the retained earnings and inventories balances included are still those figures relating to the start of that year. You can find the complete statements of finance in the Solution document.
Required:
1. Using the above information, prepare an income statement for the company for the year to 31 December 2009.
2. Prepare a statement of financial position for the company as at 31 December 2009.
3. Prepare a cash flow statement for the company for the year to 31 December 2009, using the indirect method and in accordance with IAS 7.
4. Discuss what inferences can be drawn from the above three statements in relation to the company's financial position.
Additional information-
This problem relates to Accounting and it is about preparation of statement of accounts which include income statement, cash flow and balance sheet statement for a fictitious company. Apart from the preparation of the statements of accounts, an interpretation of the company has also been given in the solution.
Importance of cash flow statement
: This question relates to Accounting Basics and it's discussed about the importance of cash flow statement in addition to balance sheet and income statements. Apart from balance sheet and incomes statement, a cash flow statement is also used for ar..
|
Discuss the performance of the economy over those ten years
: The question belongs to Economics, mainly Macroeconomics and it is discusses about conducting research on one country for the past ten years and to know the economic performance of the Thailand.
|
Certified non-union agreement
: Bokklur Pty Ltd was a producer of steel products which it supplied to the local building industry. The company had a workforce of 2000 personnel in companies dispersed throughout Queensland and South Australia.
|
Reducing the risk of oos or out-of-stock in retail industry
: Reducing the risk of OOS or Out-of-Stock in retail industry
|
Prepare a statement of financial position for the company
: This problem relates to Accounting and it is about preparation of statement of accounts which include income statement, cash flow and balance sheet statement for a fictitious company. Apart from the preparation of the statements of accounts, an in..
|
Federal unfair dismissal claim
: Allan had been employed by EW Services Pty Ltd for six years. The company, which employed 150 workers, operated an engineering workshop serving the local mining industry.
|
Price per unit-would produce positive contribution margin
: Homestead jeans co. has an annual plant capacity of 65,000 units, and current production is 45,000 units. Monthly fixed costs are 54,000 and variable costs are $29 per unit. prepare a differential analysis on whether to reject or accept the dawkins o..
|
How much producer surplus is created now
: The problem belongs to Economics and it discuss about consumers' surplus, producers' surplus and total surplus for cheese produced in the year 2009 in the US.
|
History of australia policy for accounting
: a concise history of Australia's policy for accounting for leases before the adoption of IFRS; the present approach taken by Australian IFRS on the question of recognition, measurement and presentation of leases, and the reasoning behind this approac..
|