The trial balance of Victoria Ltd at 30 June 2016 is shown .

There was no movement in share capital for the year.

 The following adjustments are required.

1.  Record income tax expense of $7500.

2.  Transfer $1000 to general reserve.

3.  Accrued expenses: sales staff’s salary $650; office salaries $270; interest on bank loan $20.

4.  Write off preliminary expenses $3000.

5.  Rent prepaid $300.

6.  Record depreciation: motor vehicles 10% on cost; office furniture 20% on cost; buildings 5%.

7.  Recommend a dividend of 20c per share.

	victoria LTD Trial Balance as at 30 June 2016
		Debit			Credit
	Share capital (50000 shares issued at $1 called to 80c) Retained earnings 1/7/15 General reserve Asset replacement reserve Sales Sales returns and allowances Cost of sales Freight inwards Freight outwards Advertising expense Preliminary expenses Buildings Selling expenses Sales staff’s salary expense Sales staff’s car expenses Sales staff’s entertainment expenses General expenses Insurance expense Rates expense Discount allowed Accounts receivable Accumulated depreciation – buildings – motor vehicles – office furniture Accounts payable Bank loan (repayable 1 July 2016) Cash at bank Motor vehicles (at cost) Office furniture (at cost) Inventory Office salaries expense Interest on overdraft expense Rent expense		$      500 93280 600 700 1000 3000 44000 1000 10000 1500 1200 1250 2000 1000 1270 16500 6100 10000 3000 16000 5300 50     1450			$  40000 5000 4700 10000 150000 1000 2000 1000 6000 1000
			$220700			$220700

Required

Prepare an income statement, a statement of changes in equity for the year ended 30 June 2016 and a balance sheet for Victoria Ltd as at 30 June 2016.