The annual charge for business rates is £2,000. However, in the year ending 31 December 2015 a business had paid £314 in advance for 2016. By 31 December 2016 the business had paid £275 in advance for 2017. The account for business rates would appear as follows:
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2016 |
£ |
2016 |
£ |
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1 Jan |
Balance b/d |
314 |
31 Dec |
Income statement |
2,000 |
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31 Dec |
Bank |
1,961 |
31 Dec |
Balance c/d |
275 |
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2,275 |
2,275 |
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2017 |
2017 |
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1 Jan |
Balance b/d |
275 |
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