QUESTION 2: (30) Consider the transactions below pertaining to Pandu's Law Firm and prepare the following accounting sta

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Question 2 30 Consider The Transactions Below Pertaining To Pandu S Law Firm And Prepare The Following Accounting Sta 1 (183.34 KiB) Viewed 34 times

QUESTION 2: (30) Consider the transactions below pertaining to Pandu's Law Firm and prepare the following accounting statements from the transactions presented and answer the question: 2.1 Trial Balance (20) (Please list the different accounts in the Trial Balance in the following order: Assets, Labilities then Owner's equity accounts) 2.2 Income Statement (7) 2.3 What is the value of the Total Assets, Total Liabilities and Total Owner's Equity? (3) Transactions: Pandu's Law Firm 1. Pandu deposits N$ 700 000 into the bank to start his own law firm business. 2. He purchases computers for the office in the amount of N$15000 by EFT. 3. He Withdraws N$20 000 from his bank account for petty cash. 4. Pandu pays office rental in the amount of N465 000 by EFT. 5. He purchases office furniture in the amount of N$25 000 by EFT. 6. He pays for coffee and tea in the amount of N$400 from petty cash. 7. He pays for the water and electricity in the amount of N$3000 by EFT. 8. He also purchases a law library from Lexis Nexis on credit worth N$25 000. 9. Pandu receives rent income for renting out one of his offices in the amount of N$7000 in cash. 10. Pandu takes an overdraft at Bank Windhoek in the amount of N$6000. 11. He withdraws N$1000 from the bank for his own private use. 12. Pandu renders divorce legal services to client James and charges/invoices the client in the amount of N$5000. 13. Client James pays Pandu for his divorce case in the amount of N$5000 (in respect of the invoice issued) by EFT. 14. Susan pays Pandu a deposit of N$50 000 to defend her on a criminal charge of robbery. 15. Pandu takes out a loan in respect of the business, with Standard bank, in the amount of N$300 000. The money is released into his bank account. -