(Solution) - S Bullock a farmer makes up his financial statements to -(2025 Original AI-Free Solution)

Paper Details

S. Bullock, a farmer, makes up his financial statements to 31 March each year. The trial balance extracted from his books as at 31 March 20X3 was as follows:

On 31 March 20X3:
Included in the above-mentioned figure of £50 is £15 for rent and this is payable for the March 20X3 quarter. In arriving at this figure the landlord has allowed a deduction of £235 for materials purchased for repairs to the farm buildings, which were carried out by S. Bullock, and is included in the 'Repairs to farm buildings' shown in the trial balance. In executing these repairs it was estimated that £125 labour costs were incurred and these were included in 'Wages and National Insurance'. This cost was to be borne by S.
Bullock.
The valuation as at 31 March 20X3 was:
......................................................................... £
Livestock, seeds, fertilizers, fodder, etc. .................. 12,336
Tillages and growing crops ..................................... 898
Depreciation, calculated on the book value as at 31 March 20X3, is to be written off as follows:
- Motor vehicles and tractors 25 per cent per annum
- Implements 12 per cent annum
Required
a. Prepare the statement of profit and loss for the year ended 31 March 20X3.
b. Prepare the statement of financial position as at that date?