Answer ALL questions in this paper. QUESTION 1 REQUIRED Use the information provided below to prepare the Statement of Comprehensive Income for the year ended 28 February 2023. INFORMATION FIESTA TRADERS PRE-ADJUSTMENT TRIAL BALANCE AS AT 28 FEBRUARY 2023 Balance Sheet accounts section Capital Drawings Land and buildings Vehicles at cost Equipment at cost Accumulated depreciation on vehicles Accumulated depreciation on equipment Fixed deposit: Rio Bank (10% p.a.) Trading inventory Debtors control Provision for bad debts Bank Debit (R) 160 000 1 800 000 1 360 000 1 000 000 300 000 230 000 260 000 134 000 [100 MARKS] (20 MARKS) Credit (R) 2 520 000 760 000 320 000 16 000

Answer ALL questions in this paper. [100 MARKS] QUESTION 1 (20 MARKS) REQUIRED Use the information provided below to prepare the Statement of Comprehensive income forthe year ended 28 February 2023. INFORMATION Adjustments and additional information 1. Stocktaking on 28 February 2023 revealed the following inventories: 1.1 Trading inventory R220000 1.2 Stationery R4 000 2. The telephone account for February 2023, R6 000, was due to be paid on 01 March 2023. 3. A debtor who was declared insolvent paid R900 which represented 30% of her debt. The balance of her account must now be written off. 4. The provision for bad debts must be decreased to R14 000. 5. Rent has been received up to 31 March 2023 . Note: The rental was increased by R2 000 per month with effect from 01 November 2022. 6. The insurance total includes an annual premium of R15 000 that was paid for the period 01 June 2022 to 31 May 2023. 7. Provide for outstanding interest on the mortgage loan for February 2023. 8. Provide for the outstanding interest on fixed deposit. The investment in fixed deposit was made on 01 September 2022. 9. A payment for the annual service of a motor vehicle was not recorded, R5 000 . 10. Provide for depreciation as follows: \begin{tabular}{|l|r|r|} \hline Accumulated depreciation on equipment & & 320000 \\ \hline Fixed deposit: Rio Bank (10\% p.a.) & 300000 & \\ \hline Trading inventory & 230000 & \\ \hline Debtors control & 260000 & \\ \hline Provision for bad debts & & 16000 \\ \hline Bank & 134000 & \\ \hline Cash fioat & 12000 & \\ \hline Creditors control & & 220000 \\ \hline Mortgage loan: Rio Bank (12\% p.a.) & & 640000 \\ \hline & & \\ \hline Nominal accounts section & & \\ \hline Sales & 960000 & \\ \hline Cost of sales & 20000 & \\ \hline Sales returns & 838000 & \\ \hline Salaries and wages & 24000 & \\ \hline Bad debts & 40000 & \\ \hline Stationery & 116000 & \\ \hline Rates and taxes & 180000 & \\ \hline Motor expenses & 34000 & \\ \hline Repairs to building & 76000 & \\ \hline Telephone & 92000 & \\ \hline Electricity and water & 16000 & \\ \hline Bank charges & 40000 & \\ \hline Insurance & 66000 & \\ \hline Interest on mortgage loan & & \\ \hline Interest on fixed deposit & & 12000 \\ \hline Rent income & & 270000 \\ \hline \end{tabular}