single entry

Hot and Sweaty doesn’t maintain a complete set of accounting records. However, he provided you with the following information:
Hot and Sweaty
Summarized Bank Account for the year ended 31st December 2020
2020
$
2020
$
Jan 01
Balance b/d
20,000
Wages and Salaries
35,000
Receipts from debtors
190,000
Drawings
4,650
Electricity
12,000
Insurance
6,000
Bank charges
900
Payment to creditors
92,500
General expenses
15,000
Telephone
8,000
Balance c/d
35,950
210,000
210,000
Dec 31 2019
Dec. 31 2020
$
$
Creditors
24,000
28,000
Prepaid telephone
1,000
1,400
Debtors
18,000
21,000
Insurance owing
5,000
8,000
Stock
14,000
27,000
General expenses owing
1,800
3,000
Motor van at a cost
35,000
35,000
Provision for depreciation on the motor van is to be based on 10% on the straight-line method.
Prepare for Hot and Sweaty the following:
Trading and Profit and Loss Account for the year ending 31st December 2020.
*HINT: Total Debtors and Total Creditors Accounts.
12 marks
Balance Sheet as at 31st December 2020.
8 marks

done
Seen
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