On December 31, 2013, $300,000 was outstanding for rent; while $200,000 of the insurance related to 2014.
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(iii) The provision for bad and doubtful debts is to be adjusted to $200,000.
(iv) The company has a policy of adding 15% mark up to its cost of production.
(v) Depreciation is charged as follows: machinery 10% reducing balance; motor vehicles 20% straight line; and furniture and fittings 10% on cost.
(vi) Apportion electricity 60% factory, 40% office; insurance 0.70 factories, 0.30 offices; rent ¾ factories, ¼ offices.
(vii) The motor vehicles are used equally between the factory and the office. Required: (a) Distillers Ltd, Manufacturing Account for the year ending December 31, 2013. Get Finance homework help today
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