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Section C- I question (30 marks) The following trial balance was extracted from the books of Ann Ltd on 31/12/2020 Dr OMR Cr OMR Share Capital: 200,000 Ordinary shares of OMR 1 each 200,000 Share Premium 15,000 Retained Earnings 29,740 Land (Cost) Office Building 280,000 25,000 Furniture & Fittings (Cost) Accumulated Depreciation on: 9,000 Furniture and fittings Office building 6,000 Other Income Received 5,000 8,000 Trade Receivables 18,950 Trade Payables 12,930 Inventory in trade 1.1.2020 18,930 Allowance for Bad Debts 900 Interest on Loan 1,200 Bank Overdraft 2,490 Salaries of Administrative staff 23,360 Rent and Rates 4,650 Marketing Expenses 2,120 Advertisement Expense 3,000 Bad Debts 1,510 Purchases 164,740 Sales 282,400 Dividend paid 10,000 562,460 562,460 You are given the following information: 1. Inventory in trade at 31 December 2020 amounted to OMR 20,470. 2. The Allowance for bad Debts is to be increased to 10% 3. Depreciation on Furniture and fittings at 5% per annum on reduced balance method and it is to be charged to Cost of Sales. Also, charge Depreciation on office building at the rate of 10% straight line method and to be charged to Administrative Expenses. 4. The Land is revalued by a Professional Valuer at OMR 300,000. 5. Provide tax @ 20%. 6. No final dividend declared during the year. In compliance with IAS-1. You are required to prepare: a) A Income statement for the year ended 31 December 2020. b) A Financial position (Balance Sheet) as at 31 December 2020. c) Explain the Features of Limited Liability Company (in nor more than 500 words)