Gce Model Questions Vol1 2024 Financial Accounting Question 30

The trial balance of a sole trader for the year ended 31 March is given below (all figures in £): - Sales Revenue 250,000 (Credit) - Opening Stock 30,000 (Debit) - Purchases 120,000 (Debit) - Carriage Inwards 5,000 (Debit) - Closing Stock 35,000 (Credit) - Salaries 40,000 (Debit) - Rent 12,000 (Debit) - Interest Received 2,000 (Credit) The following adjustments are required: 1. Depreciation on equipment of £8,000 has not been recorded. 2. Bad debts written off amount to £3,000 and have not been recorded. 3. A prepaid rent of £4,000 for the next year has been included in the rent expense. 4. Electricity expense of £1,500 has been accrued but not recorded. Prepare the statement of profit and loss for the year and state the net profit after all adjustments.