Please answer the question using the information provided on both pictures. (20 Marks) QUESTIONS The trial…

Please answer the question using the information
provided on both pictures.
(20 Marks) QUESTIONS The trial balance, adjustments and additional information were extracted from the accounting records of Allied Traders on 28 February 2018, the end of the financial year REQUIRED Prepare the Statement of Comprehensive Income for the year ended 28 February 2018. INFORMATION ALLIED TRADERS PRE-ADJUSTMENT TRIAL BALANCE AS AT 28 FEBRUARY 2018 Debit (R) Credit (R) Balance Sheet Accounts Section Capital Drawings Land and buildings Vehicles at cost Equipment at cost Accumulated depreciation on vehicles Accumulated depreciation on equipment Trading inventor Debtors control Provision for bad debts Bank Cash float Petty cash Creditors control Loan: Solo Bank Nominal Accounts Section Sales Cost of sales Sales returns Salaries and wages Bank charges Rent income Packing materials Advertising Rates Bad debts Discount allowed Discount received Stationer Interest on loan Water and electricit Insurance Telephone 870 000 233 000 08 000 270 000 208 000 93 000 77 000 43 000 100 000 5 000 4000 2 000 1000 60 000 96 000 1 270 000 600 000 20 000 18 000 5 000 66 000 36 000 19 000 6 000 3 000 1000 3 000 19 000 10 000 8 000 17 000 9 000 540 000 2 540 000 ADJUSTMENTS AND ADDITIONAL INFORMATION No entry was made for stationery that was donated on 26 February 2018 to an old age home, R1 000 1. 2. Inventories on 28 February 2018 according to a physical stocktaking were as follows: 2.1 Trading inventory R140 000 2.2 Stationery 3. The telephone account for February 2018 was due to be paid on 03 March 2018, R900. 4. Rent has been received up to 31 Jauary 2018 5. A debtor, P. Kriek, who owed R2 000 was declared insolvent. His account must now be R2 000 written off 6. The provision for bad debts must be increased by R1 000. 7. The insurance total includes an amount of R3 000 that was paid for the period 01 September 2017 to 31 August 2018. 8. Interest on loan outstanding on 28 February 2018 amounted to R2 000. 9. Depreciation must be brought into account each year as follows: 9.1 On vehicles at 20% per annum using the diminishing balance method. 9.2 On equipment at 10% per annum on cost.