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Company A Ltd is a merchandising company. At 1" October, the company accounts are as...

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Accounting

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Company A Ltd is a merchandising company. At 1" October, the company accounts are as followed: Cash in hand: $40,000 Cash at bank: $60,000 Inventory: $30,000 Account Payables: $50,000 Account Receivables: $30,000 Bank Loans (due in 2 years): $100,000 Fixed assets: $300,000 Owner's capital: $220,000 Accumulated Depreciation: $90,000 In October, the company has incurred the following transactions. 1. Purchase merchandise from supplier. The value is $33,000. Company has paid using bank transfer. 2. Sell merchandise to customers. Value of the merchandise is $20,000. Selling price is $25,000, VAT is 10%, total price is $27,500. The customer has paid half the money in cash; the rest is owed. 3. A customer pays back the money he owed in the last month in cash. The amount is $30,000. 4. Depreciation of fixed assets for the month is $45,000. 5. Withdraw cash from bank account to the company $15,000. 6. Make a 3-year loan with the bank $80,000. The amount is transferred to the company's bank account. 7. Paid salary expense to workers in cash. Amount is $10,000. Required: 2.1. Prepare the journal entries for the transactions 2.2.Prepare the company's Statement of financial position at the end of the month

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