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BALANCE SHEETGrouping of items: Items in the Balance Sheet should be grouped under appropriate headings. In particular, a trust operating the provisions of the Trustee Act will have headings for: The fixed interest securities and fund; The wider range securities and fund; The special range securities and fund. The Balance Sheet will also clearly distinguish between items representing income and those representing capital.Comparative figures:
Comparative figures should be shown where relevant.
Capital account:
Where the Trustee Act has been applied, the capital account will be divided between the fixed interest, wider and special ranges. The balance on the capital account shows the total book value of the capital funds.
Liabilities:
Careful distinction should be made between liabilities on capital account and those on income account.
Assets
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Q. Evaluation of Net working capital? The evaluation presumes that several key variables will remain constant such as the inflation rates, discount rate and the taxation rate.
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Cumulative and substitutional legacies and devises Where a will makes two gifts of unequal amounts to the same person, they are assumed, in the absence of a contrary indication
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