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ASSETS AND LIABILITIES

Kkumar105y ago
At 31 December 20X5 the following require inclusion in a company’s financial statements (1) On 1 January 20X5 the company made a loan of $12,000 to an employee, repayable on 1 January 20X6, charging interest at 2% per year. On the due date she repaid the loan and paid the whole of the interest due on the loan to that date. (2) The company paid an annual insurance premium of $9,000 in 20X5, covering the year ending 31 August 20X6. (3) In January 20X6 the company received rent from a tenant of $4,000 covering the six months to 31 December 20X5. For these items, what total figures should be included in the company’s CALCULATE CURRENT ASSETS AND CURRENT LIABILITIES CURRENT ASSETS - CURRENT LIABILITIES - COULD SOMEONE PLEASE SOLVE THIS SUM SINCE I AM GETTING A DIFFRENT ANS THEN IN TEXTBOOK AND I COULD CROSS CHECK THROUGH YOUR SOLUTION PLEASE?
John MoffatJohn MoffatTutor5y ago#1
Please do not type in capital letters. The assets are: Loan to employee. 12,000. Interest on loan: 240 Insurance prepayment: 6,000 Rent receivable: 4,000 Total: $22,240 There are no liabilities.
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