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London Ventures has been trading for a number of years as a wine merchant the following list of balances: Accounting for business managers, Assignment, DMU, UK
| University | De Montfort University (DMU) |
| Subject | Accounting for business managers |
Task1
You are provided below the Trial Balance of London Ventures for the year ended 31 March 2021.
London Ventures has been trading for a number of years as a wine merchant the following list of balances has been extracted from his ledger as of 31 March 2021, the end of his most recent financial year.
Thefollowingadditionalinformation isavailableasat31March2021:
- Inventoriesatthecloseof businesson31March2021wasvalued at£20,550
- Insuranceshavebeenprepaidby£850
- HeatingandLightingisaccruedby£1,100
- Rateshavebeenprepaidby£2,482
- Delivery costisaccruedby£905
- Depreciation chargeforFixturesandFittingsfortheyear£11,584.
- DepreciationchargeforMotorVehiclesfortheyear£9,440.
- PrepareanIncomeStatementfortheyearended31March2021forLondonVenturs
- Preparea StatementofFinancialPositionasat31March 2021forLondonVentures.
Task2
Identify3possible limitationsoftheIncomeStatementforLondonVentures
Task3
Identify3possible limitationsof theStatementoffinancialpositionforVentures
Task4
Explain how London Ltd can effectively manage the following:
- Inventory Days
- TradePayable Days
- TradereceivableDays
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