2 (20 Marks) 2.1 REQUIRED Use the information provided below to prepare the Pro-forma Statement of Comprehensive Income for the year ended 31 December 2023. (Note: The statement must reflect the gross profit, operating profit, profit before tax and profit after tax.) (10 marks) INFORMATION The following figures have been extracted from the Statement of Comprehensive Income of Riptide Limited for the year ended 31 December 2022: R Sales 2 000 000 Cost of sales 1 200 000 Operating expenses 500 000 Interest expense 40 000 Company tax 78 000 Profit after tax 182 000 Additional information 1. The sales forecast for the year ended 31 December 2023 is R2 400 000. 2. The gross margin ratio for 2023 is expected to increase to 55%. 3. Riptide Limited has identified operating expenses and interest expense as varying in proportion to sales. 4. Company tax is calculated at 27% of the profit before tax. 4 2.2 REQUIRED Calculate the following from the information provided below: 2.2.1 Value of the closing inventory and issues to production using the first-in-first-out (FIFO) method. (6 marks) 2.2.2 Value of the closing inventory using the weighted average cost method. (Express the average cost per unit to the nearest cent.) (4 marks) INFORMATION The following transactions of Global Manufacturers took place during March 2023 in respect of a component used in production: Date Transactions 01 Opening inventory 600 units @ R12 per unit 11 Purchased from Supplier A 3 400 units at R13 per unit 12 Returned to Supplier A (see 11March) 400 units 17 Purchased from Supplier B 1 400 units at R14 per unit 31 Issued to production during March 3 500 units