Lavender Industry has provided you with the following information:Trial Balance as at 30 June 2017
|Allowance for doubtful debts||60|
|Furniture & Fittings||260|
|Wages for Office||200|
|Wages for Sales||52|
|Printing & Stationery||20|
• Prepaid rent $30
• Accrued wages (sales) $25
• Depreciation Motor Vehicles 10% p.a.
• Depreciation Furniture & Fittings 5% p.a.
• Bad debts written off $44 including GST
• Allowance for doubtful debts is to be increased to $200
• Stocktake as at 30 June $1,010
Note: Lavender Industry uses the periodic inventory system.
Required: (a) Prepare the general journal entries for Balance Day Adjustments from the additional information given.(b) Open the relevant general ledger accounts (including Trading and Profit & Loss Ledger accounts) and post the Balance Day Adjustments to these accounts.(c) Prepare the closing journal entries for 30 June(d) Prepare the Income Statement for the year ended 30 June
(e) Prepare a Classified Balance Sheet as at 30 June