Accounting 9706 · AS & A Level · Preparation of financial statements

Preparation of financial statements — practice question

Consult Source A3 in the Insert.
(a)[4]

Calculate the amount of the closing inventory.

(b(i))[7]

Prepare the consignment account in SH Limited's books of account.

(b(ii))[5]

Prepare a ledger account for Maureen.

(c)[2]

Calculate the profit per container from the totals.

(d)[3]

Explain what the closing balance on Maureen account indicates.

(e)[4]

Explain two distinctions between a consignment and a joint venture.

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