Question

Edgware Ltd retails clothes from several shops in London. The company's trial balance at 31.3.18 before any adjustments have been made is as follows Dr 2000 £000 Cr 300 70 290 Shop fittings at cost Shop fittings, accumulated depreciation at 1 April 2017 120 Delivery vans at cost Delivery vans, accumulated depreciation at 1 Inventory at 1 April 2017 Trade receivables Provision for bad debts at 1 April 2017 2017 5 100 Accruals at 1 April 2017 Bank Trade Taxation 8% debenture loan repayable in 2030 Ordinary share capital, 25p shares 196 164 5 40 50 105 1,910 Retained profits at 1 April 2017 Sales revenue Purchases Administrative and distribution expenses Electricit Advertising expenses Rent Interest paid Interim dividend paid 950 127 347 50 150 The following additional information is available 1. The figure for accruals in the trial balance is in respect of electricity accrued at 1.4.17. Electricity paid in the year ended 31.3.18 is for the period up until 31.1.18. An electricity invoice of £72,000 was received from London Electricity for the three months ended 30.4.18 and this was paid on 1.5.18 2. Unpaid debenture interest at 31.3.18 is to be provided 3. On 31.3.18 the company sold a delivery van for £10,000 in cash. The vehicle was purchased in 2015 for £40,000. The cash received from this sale will be

Answer 1