1
Read the following and answer the questions below.
On 1 January 2008 the Happy Haddock Angling Club had the following assets:
Cash at bank 200
Snack bar stocks 800
Club house buildings 12,500
During the year to 31 December 2008 the Club received and paid the following amounts:
Receipts
£
Payments
£
Subscriptions 2008 3,500 Rent and rates 1,500
Subscriptions 2009 380 Extension to club house 8,000
Snack bar income 6,000 Snack bar purchases 3,750
Visitors’ fees 650 Secretarial expenses 240
Loan from bank 5,500 Interest on loan 260
Competition fees 820 Snack bar expenses 600
Games equipment 2,000
Notes
: The snack bar stock on 31 December 2008 was £900.
The games equipment should be depreciated by 20%.
(a) Prepare an income and expenditure account for the year ending 31 December 2008. Show,
either in this account or separately, the snack bar profit or loss.
(b) Prepare a balance sheet as at 31 December 2008.
(Midland Examining Group: GCSE)