Scribd Logo
Upload

Welcome to Scribd!

  • 17 views

    Sheet Solution

    Uploaded by

    mmh771984
    The document contains summaries of unrealized profit calculations, a combined income statement worksheet combining a head office and branch, and an income & expenditure statement for a non-profit organization for the year ended December 31, 2016. It shows subscriptions were $33,700, total income was $48,700, total expenditures were $43,200, and the surplus of income over expenditures was $5,500.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd

    Sheet Solution

    Uploaded by

    mmh771984
    17 views1 page
    The document contains summaries of unrealized profit calculations, a combined income statement worksheet combining a head office and branch, and an income & expenditure statement for a non-profit organization for the year ended December 31, 2016. It shows subscriptions were $33,700, total income was $48,700, total expenditures were $43,200, and the surplus of income over expenditures was $5,500.

    Original Description:

    accounting for business combination

    Original Title

    sheet solution

    Copyright

    © © All Rights Reserved

    Available Formats

    PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    The document contains summaries of unrealized profit calculations, a combined income statement worksheet combining a head office and branch, and an income & expenditure statement for a non-profit organization for the year ended December 31, 2016. It shows subscriptions were $33,700, total income was $48,700, total expenditures were $43,200, and the surplus of income over expenditures was $5,500.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    17 views1 page

    Sheet Solution

    Uploaded by

    mmh771984
    The document contains summaries of unrealized profit calculations, a combined income statement worksheet combining a head office and branch, and an income & expenditure statement for a non-profit organization for the year ended December 31, 2016. It shows subscriptions were $33,700, total income was $48,700, total expenditures were $43,200, and the surplus of income over expenditures was $5,500.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    You are on page 1of 1

    Question B:-

    Unrealized profit in beginning inventory = 50000 – (50000 /1.25) = 10000

    Unrealized profit in shipment from HO = 142500 – (142500/1.25) or 142500 – 114000 = 28500

    Unrealized profit in ending inventory = 32000 – (32000 / 1.25) = 6400

    Combined statements Workpaper

    Item Trial balances Eliminations Combined


    H.O Branch DR CR balances
    Income statement:
    Sales 962000 272000 1234000
    Beginning inventory 120000 50000 10000 160000
    Purchases 500000 28000 528000
    Shipments from H.O 0 - 142500 142500 0 -
    620000 220500 688000
    Shipments to branch 1140000 0 114000 0
    Ending inventory 98000 48000 6400 139600
    Cost of goods sold 408000 172500 548400
    Other expenses 272000 36000 . . . 308000
    Net income to retained earnings 282000 63500 120400 152500 377600

    Question C: - exercise 24-7

    Question D:-

    Subscriptions for 2016 = 34000 – 1400 + 1200 + 200 – 300 = 33700

    Depreciation expenses for premises = 40000 – 36000 = 4000

    Depreciation expenses for fixtures = 6000 – 4000 = 2000

    Total depreciation expenses = 4000 + 2000 = 6000

    Income & Expenditure account for the year ended 31 December 2016

    Income :
    Subscriptions 33700
    Donations 15000
    Total 48700

    Expenditures :
    Rates 1200
    General expenses 28000
    Repairs 8000
    Depreciation expenses 6000 43200
    Surplus of income over expenditures 5500

    Accumulated fund at 31/12/2015 = 1400+40000+6000+2000 – 200 = 49200

    Accumulated fund at 31/12/2015 = 1200+36000+4000+13800 – 300 = 54700 or = 49200 + 5500

    You might also like