Discuss three differences between the Income Statement and the Balance Sheet (statement of financial position). You must use relevant academic literature in your

c) ADB Ltd has the following trial balance as at 31st December 2020
£	£
Sales	150,000
Motor Vehicles	90,000
Accumulated Depreciation for Motor Vehicles	45,000
Opening Stock (as of 1st Jan. 2020)	15,000
Salaries expense	20,000
Accounts Receivables	75,000
Fees received	45,000
Cash	40,000
Purchases	50,000
Notes Payables	40,000
Rent Expenses	10,000
Utilities Expense	25,000
Machines	60,000
Accumulated Depreciation for Machines	30,000
Share Capital	75,000
385,000	385,000

The following information is also available: -

(1) Closing stock at the 31st December 2020 is £10,000

(2) Included in Utilities expense costs of £12,000 which are paid for the year ended on 30th
June 2021.

(3) Late rent of £10,000 is due and has not been paid or included in the rent expense yet.
(4) Depreciation follows straight line method 20% for Motor Vehicles and 10% for Machines.

Required
Showing full workings, you are required to: -

Prepare an Income Statement and a Balance Sheet for ADB Ltd as at 31st December 2020.