Prepare the statement of financial position at 30 June 20X3. Discuss Hien’s cash position. Is there any other information which might be useful to you in order to give her good advice?
Case Scenario1 – Hien
Hien is in business selling high quality glassware to retailers. Her accountant prepares a statement of financial position each year following Hien’s year end of 31 December. It is now 30 June 20X3. Hien, who has no knowledge of accounting, asks you for some assistance:
Hien supplies the following list of balances at 30 June, prepared by her book-keeper.
£
Capital 151,068
Trade payables 25,471
Cash at bank 62,479
Inventory 18,961
Trade receivables 14,371
Non-current assets – premises 74,450
Non-current assets – other 12,266
Amounts owed to HMRC 5,988
Questions:
Prepare the statement of financial position at 30 June 20X3.
Discuss Hien’s cash position. Is there any other information which might be useful to you in order to give her good advice?