This is the revised version of Pepe's Balance Sheet as at 31.12.9- using the Straight-line Method of calculating Depreciation.
| £ | £ | £ | |
|---|---|---|---|
| cost | depreciation | ||
| Premises | 100,000 | ------- | 100,000 |
| Equipment | 8,000 | ------- | 8,000 |
| Machinery | ------ | ------- | ------ |
| Motor Vehicle | 20,000 | 3,000 | 17.000 |
| 125,000 | |||
| CURRENT ASSETS | |||
| Stock | 5,500 | ||
| Debtors | 7,600 | ||
| Bank | ---- | ||
| Petty Cash | 200 | 13.300 | |
| LESS CURRENT LIABILITIES | |||
| Creditors | 5,000 | ||
| Bank Overdraft | 2,000 | (7,000) | 6,300 |
| CAPITAL EMPLOYED | 131,300 | ||
| less mortgage | 70,000 | ||
| £ 61,300 | |||
| FINANCED BY: | |||
| capital | 53,000 | ||
| net profit | 16,300 | 69,300 | |
| less drawings | (8,000) | ||
| £ 61,300 |