Advertisement
If you have a new account but are having problems posting or verifying your account, please email us on hello@boards.ie for help. Thanks :)
Hello all! Please ensure that you are posting a new thread or question in the appropriate forum. The Feedback forum is overwhelmed with questions that are having to be moved elsewhere. If you need help to verify your account contact hello@boards.ie
Hi there,
There is an issue with role permissions that is being worked on at the moment.
If you are having trouble with access or permissions on regional forums please post here to get access: https://www.boards.ie/discussion/2058365403/you-do-not-have-permission-for-that#latest

Help with a question

  • 01-12-2012 2:57pm
    #1
    Justin10
    Registered Users, Registered Users 2 Posts: 3,237 ✭✭✭


    Just doing a question and not sure on how to answer the below scenarios.
    Any help would be fantastic. Thanks very much

    Trial balance as at 31/05/09
    €000
    Revenue 164000
    Production cost 90000
    Income Tax 100
    Tax payable estimate 500
    Inventories at 31/05/08 19710

    Note 1 year end 31/05/09 sold good value 30M under warranty. Terms were if defective within 12 months of purchase would be repaired or replaced. Each product sold there 20% chance of a defect. Any warranty costs are included in production costs. Where warranty costs incurred on average amount to 50% of revenue received from sale of product. €900,000 warranty costs have been included within production costs in trial balance.

    Note 2 Stock at 31/05/09 was 20M Included within this balance are stock valued at 5M which where damaged 10/12/08. They will need to be marked to 40% of original selling price.

    Note 3 Final estimated income tax on profits for year end 09 is 1.6M. During the year 1.3M and full settlement of income tax on profits year ended 31/05/08 where paid. Statement of financial position had included 1.4M in respect to this liability.


Advertisement