The trial balance of Lax Ltd at 3 0 June 2 0 2 4 was as shown

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Question:

The trial balance of Lax Ltd at $30$ June $2024$ was as shown below.

LAX LTD

Trial Balance

as at $30$ June $2024$

Debit Credit

Share capital $($ ordinary shares issued at $ $2,$ fully paid $)$ $ $200 000$

General surplus $25 000$

Retained earnings $73 400$

Revaluation surplus $85 000$

Mortgage loan $($ secured over land and buildings $) 250 000$

Bank overdraft $($ at call $) 70 900$

$7 %$ debentures $80 000$

Interest payable $2 800$

Accounts payable $69 500$

Dividend payable $10 000$

Employee benefits payable $34 200$

GST payable $18 400$

Allowance for doubtful debts $12 800$

Accumulated depreciation $-$ plant and equipment $42 500$

Accumulated impairment losses $-$ goodwill $10 000$

Cash at bank $ $500$

Accounts receivable $67 800$

Inventory $87 700$

Prepaid insurance $7 000$

Plant and equipment $222 500$

Land $220 000$

Buildings $380 000$

Goodwill $50 000$

Government bonds $($ long $-$ term $) 35 000$

Shares in Carncotton Ltd $20 000$

Sales revenue $825 000$

Cost of sales $450 000$

General expenses $265 000$

Loss on sale of plant $10 000$

Interest received $2 500$

Dividends received $3 500$

$ $1 815 500$ $ $1 815 500$

Additional information

$1 .$ General expenses for the year include the following items.

Depreciation $-$ plant & equipment $ $17, 200$

Depreciation $-$ buildings $15, 000$

Employee benefits $11, 600$

Bad debts $10, 000$

Interest expense $28, 700$

Inventory losses $6, 200$

Discount allowed $4, 200$

Council rates $16, 120$

Superannuation contributions $7, 000$

$2 .$ The company tax rate is $30 %,$ to be applied to profit before tax.

$3 .$ The opening balance of the allowance for doubtful debts was $ $15 250 .$

$4 .$ All assets are carried at cost $,$ except for land and buildings, which are carried at fair value.

$5 .$ During the year, $50 000$ shares were issued at an issue price of $ $2$ each, payable in full on application.

$6 .$ On $30$ June $2024,$ the directors revalued land and buildings based on fair values. The carrying amounts of land and buildings before the revaluation were $ $195 000$ and $ $350 000$ respectively.

$7 .$ The mortgage loan is repayable in annual instalments of $ $50 000$ starting on $1$ March.

$8 .$ The debentures are to be redeemed on $31$ March $2024 .$ There is no plan to refinance these debentures in the future.

$9 .$ The employee benefits payable consist of the following.

Annual leave $ $18, 400$

Long $-$ service leave $15, 800$

$10 .$ No employee is eligible for long $-$ service leave until $2024 .$

$11 .$ Goodwill is not considered to be impaired.

$12 .$ During the year, Lax Ltd sold an item of plant for $ $38 000 .$ The carrying amount of the plant at the date of sale was $ $48 000 .$

$13 .$ During the year, an interim dividend of $ $20 000$ was paid, and a final dividend of $ $10 000$ was declared. $ $25 000$ was also transferred to the general reserve.

Required:

Part $($ a $) - 19$ ticks $($ @ $2 / 3$ mark each $= 12.67$ marks $)$

Prepare a Statement of Profit or Loss and Other Comprehensive Income for Lax Ltd for the year ended $30$ June $2024,$ according to the requirements of IAS $1 /$ AASB $101 .$