Arnold Traders, a sole proprietor, did not keep proper accounting records. Mr Arnold furnished you with this information relating to Arnold Traders that he extracted from his note book:

Additional information:

1. Mr Arnold paid most major items of expenditure by cheque. Certain other items were paid out of cash takings and the balance of the cash receipts was banked every week.

2. Depreciation must be provided for at 20% per annum on the reducing balance method for the delivery vehicle and shop equipment.

3. On 1 July 20x0, the delivery vehicle and shop equipment (shown on 30 June 20x2) were bought.

You are required to:

1. Prepare the statement of profit or loss & other comprehensive income of Arnold Traders for the year ended 30 June 20x3.

2. Prepare the statement of financial position as at 30 June 20x3.

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Assets and liabilities Delivery vehicle - carrying value Shop equipment - carrying value Accounts receivable Accounts payable Bank Cash Inventory Accumulated profit Summary of bank payments and receipts Delivery vehicle purchased on 1 July 20x2 Shop equipment purchased on 1 July 20x2 Cash sales deposits for the year Purchase of inventory Payment of accounts payable Receipts for accounts receivable Summary of cash expenses Vehicle expenses Purchase of goods for sale 30/06/20x2 20 000 00 30 000 00 10 000 00 70 000 00 20 000 00 15 000 00 30 000 00 10 000 00 30/06/20x3 ? ? 10 000 00 20 000 00 10 000 00 30 000 00 20 000 00 ? 30 000 00 20 000 00 40 000 00 20 000 00 50 000 00 ****** 70 000 00 5 000 00 10 000 00