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

Preparation of financial statements — practice question

Consult Source A2 in the insert.
(b(i))[3]

Calculate for the year ended 30 June 2021 the value of subscriptions received and banked.

(b(ii))[4]

Calculate for the year ended 30 June 2021 the cash takings banked.

(b(iii))[4]

Calculate for the year ended 30 June 2021 the club expenses paid by cash.

(a(ii))[4]

banked cash takings

(a(iii))[4]

club expenses settled using cash.

(c)[6]

Prepare the income and expenditure account for the year ended 30 June 2021.

(d)[3]

Advise the committee whether or not to start renting a third vending machine. Support your answer with reasons.

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