S. No.

1
2
3
4
5
6
7
8
9
10
11
12
13
14
15

Adjustments
a.
b.

Net Balances
 Transactions

invested $40,00,000 in the company where $30,00,000 in cash and Plant, Property and Equipment (PPE) valued at $10,00,000 in exchange of common stock.
ompany purchased office building for $ 1,00,000 on mortgage loan on 1 st April 2019.
The company purchased inventory worth $25,000 for cash.
The company paid $10,000 to Al Arabiya a renowned TV channel for the advertisements of the company during the year 2019-20.
The company received cash $ 2,00,000 for the delivery of goods to their clients.
The company rented a flange facing machine and paid $ 8,000 cash as annual rent

Adjustments
Depreciation
Amortization

Net Balances
 Prepaid
Cash Receivables Building Inventory PPE Land
Expenses

3,000,000 1,000,000
100,000
-25000 25000
-10,000
200,000
-8000

-5000
9500
16500
-1000
-3500
-3000
-2000
-6000

3146000 16500 0 100000 25000 1000000 0

4287500
 Deferred
Intangible Outstanding Provisions Borrowings Borrowings
Payables Revenue
Assets Expenses (Current) (Current) (Non-Current)
(Current)

100,000

9500

0 0 9500 0 0 0 100000
4287500
 Other
Capital Revenue Expenses Dividents
Equity

4,000,000

-10,000
200,000
-8000

-5000

16,500
-1000
-3500
-3000
-2000
-6000

4000000 0 216500 -32500 -6000

4287500
 Income Statement
RS
Revenues
Operating Revenue 216,500
Other Income 0 216500
Total Revenue 216500

Expenses
Rent expense 8000
COGS 20000
Salaries 5000
Advertising Expenses 10,000
Interest 2000
Income Tax 3000
Depreciation 55,000
Bank Charges 1000
Utility Bill 3500
Total expenses 107500
Net Income 109000

Retained Earning Statement

Retained Earnings, July 1 0
Plus: Net Income 109000
109000
Less: Dividents -6000
Retained Earnings, July 31 103000
 Balance Sheet
Dated: 31ST MARCH 2020

Current Assets
Cash 3146000
Receivables 16500
Inventory 5000
Non-Current Assets
PPE-dep 950000
Building 95000

Total Assets 4212500

Current Liabilities
Deferred Revenue 9500
Non-Current Liabilities
Borrowings (Non-Current) 100000
Equity
Capital 4000000
Other Equity 103000

Total Liabilities and Equity 4212500