Page 147 - Book-keeping for Secondary Schools Student’s Book Form One
P. 147
Basic financial statements
Format of the income statement
(Name of the sole proprietor, for example John)
An Income statement for the year ending……
Details TZS TZS TZS
FOR ONLINE READING ONLY
Sales xxxx
Less: Sales returns (xx)
Net sales xxxx
Less: Cost of goods sold:
Opening inventory xxxx
Add: Purchases xxx
xxx
Less: Purchases returns (xx)
Net purchases xxx
Add: Carriage inwards xxx xxxx
Cost of goods available for sale xxxx
Less: Closing inventory (xxx) (xxx)
Gross profit xx
Add: Other income
Commission received xxx
Discount received xxx xxxx
Total income xxxx
Less: Expenses:
Wages (xx)
Salaries (xx)
Rent (xx)
Stationeries (xx)
General expenses (xx)
Lighting expenses (xx)
Total expenses (xxx)
Profit or loss for the year xxx
Example 7.4
Using the following trial balance prepare an income statement for Mbelwa Enterprise for the
year ending 31/12/2020.
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Book Keeping Form 1 New 2024 FINAL.indd 139 18/10/2024 10:14
