Answer ALL questions in this paper.

$[100$ MARKS$]$

QUESTION $1$

$(20$ Marks$)$

REQUREO

Use the information given below to complete the following financlal statements

$1\mathrm{.}1$ Stalement of Comprehensive income for the year ended $29$ February $2024$

$(12$ marks$)$

$1\mathrm{.}2.$ Statement of Fnanciel Position as at $29$ February $2024.($Show the workings in brackets next to the relevant detals.$)$

$(8$ marks$)$

Note: Some of the amounts have already been entered in the answer book. NFORMATION

The following trial balance, adjustments and additional information were extracled from the records of Aerostat Traders for the financial year ended $29$ February $2024$:

ADDTTIONAL IFORMATION AND ADJUSTMENTS

Slockdaking on $29$ February $2024$ revealed trading inventory of R$1000000$ on hand.

The rent eapense amounted to Re$8000$ per month for the period $01$ March $2023$ to $31$ August $2023$ and R$27000$ per month for the period $01$ September $2023$ to $31$ March $2024.$ Make the necessary adystrment

Adeblor who owed R$20000$ was dedared insolvent. His account must now be written off.

The provision for bad debts must be decreased ta R$23000.($Show a separate account for the change in the provision for bad debts in the stalement of comprehensive income.$)$

Provde for oulstanding inlewst on the loan for the last month of the financial year. Interest is not copipaled.

$6$: The teiphone account lar Fetruary $2024$ was due to be paid on $02$ March $2024,$ R$8000.$

According to the banik stavernent. bank charges of R$2000$ were fecied by the bank. This has not been recorded.

Received RS $000$ from H$.$ Keron whose acoount was wallen ofl as a bad debl previoully. No entry wos made lor his

A diblor whose acocult was ovedue for ane month must be charged $R100$ interest:

Fruvde for depreciation as folloss:

$10\mathrm{.}1.$ On wehicles at $20\%$ per year using tle redicing batance melhad. Nole: Vehicies that cost Rs$50000$ eere curchesed on OS Decomber $2023.$ The purchava has been reconced.

Os equigened al to$\%$ per year uing the fixed iretainent method