Gce Model Questions Vol1 2024 Financial Accounting Question 22
Practice objective / multiple choice question 22 from the 2024 Gce Model Questions Vol1 Financial Accounting examination.
A company's equity balances at 31 December 2023 are: Share capital \(£150,000\), Share premium \(£30,000\), Revaluation reserve \(£20,000\), Retained earnings \(£45,000\). During the year the profit before tax was \(£60,000\); corporation tax paid was \(£12,000\). Ordinary dividends of \(£15,000\) and a special dividend of \(£5,000\) were paid from the revaluation reserve. A prior‑period error understated retained earnings by \(£8,000\). Calculate (a) the total comprehensive income for the year and (b) the closing balance of retained earnings.
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About This Question
This is Gce Model Questions Vol1 2024 Financial Accounting Question 22. It is one of the objective questions from the 2024 Gce Model Questions Vol1 Financial Accounting examination.
Difficulty level: Hard .
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