The accounts in the ledger of Antunaz Ltd as at 30 June 2026 had the following balances..

The Share Capital account represents 30 000 000 shares fully paid at \($1\) and 50 000 000 shares issued at \($1\) but called to 75c per share. A call of 25c per share had been made on these 50 000 000 shares during the year, but 2 000 000 had failed to pay the call by 30 June 2026. An interim dividend of \($1\) 500 000 has been paid during the year out of retained earnings.
Inventory on hand at 30 June 2026 was \($16\) 000 000.
The following adjustments have to be made.
1. Provide for 10% p.a. depreciation on cost of fixtures and fittings and 5% p.a. on buildings for the whole year.
2. Unrecorded and unpaid expenses: travellers’ salaries \($100\) 000.
3. General expenses prepaid, \($15\) 000.
4. Record income tax expense and current tax liability of \($900\) 000.
5. Declare a final dividend, \($1\) 500 000. No ratification of this dividend is needed.
6. Share issue costs to be written off against share capital.
7. An amount of \($1\) 000 000 is to be transferred to a general reserve from retained earnings.
Required

(a) Prepare an income statement for the year ended 30 June 2026 and a balance sheet as at 30 June 2026

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Share Capital Second Call ANTUNAZ LTD Trial Balance as at 30 June 2026 Retained Earnings Mortgage Payable on Land and Buildings Land Buildings Fixtures and Fittings Accumulated Buildings Depreciation - Debit ($000) Credit ($000) $ 67 500 $ 500 10 200 40 000 2 500 4 600 20 000 4.000 -Fixtures and Fittings Investments Share Issue Costs Accounts Receivable Control 500 40 000 500 5 495 Inventory on hand (1 July 2025) 15 000 Bank Overdraft 11 000 Accounts Payable Control Sales Revenue Interest from Investments 2 000 24 000 1 750 Purchases 11 850