Tsang is in business buying and selling goods on credit. The following information is available for the month of March 2010. $ Revenue (sales) 65000 Inventory (stock) 1 March 3400 Trade payables (creditors) 1 March 1700 Payments to suppliers 47000 Discount received 300 Inventory (stock) 31 March 2900 Ordinary goods purchased 47900 Wages & expenses 2500 REQUIRED

1. (a)Prepare the purchase ledger control account showing the balance of trade payables (creditors) at 31 March 2010.[5]
2. (b)(i)Included in the expenses are the wages paid to Susan, who works for Tsang. In the month of March, Susan worked 160 hours for which she was paid $5 per hour, and 20 hours overtime, for which she was paid time and a half. Tax and social security deducted from her pay was $165. Tsang also had to pay $90 for employer's social security contributions. The total tax and social security is to be paid to the tax authorities on 30 April 2010. REQUIRED (b) (i) Calculate Susan's net pay for the month of March.[2]
3. (b)(ii)Calculate for Tsang, the total cost of employing Susan for the month of March.[2]
4. (c)Prepare for Tsang, the journal entry on 31 March 2010 to record the wages and statutory deductions. A narrative is not required.[3]
5. (d)Prepare the income statement (trading and profit and loss account) for the month of March 2010.[6]