please answer the required with explaining step by step

Business selling coffee makers to other businesses. On 31" December 2018 he extracted the following trial balance. Trial Balance Account Name Debit $ Credit $ 541.500 9.600 35.250 271.080 9,600 126.000 37,500 60.000 25% 15 000 9,000 256 - 27.000 Sales Revenue Sales retums Opening inventory Purchases Purchase returns Freehold property New motor vehicle (trade-in-deducted) Equipment at cost Accumulated depreciation on equipment Old Motor vehicle at cost Accumulated depreciation on old motor vehicle Salaries and Wages Insurance Motor expenses Advertising expenses Loan interest Receivables Allowance for receivables Payables Current licibilities Cash at bank Bank loan Non-Current Vabilities 10.800 18,000 4.800 7.500 4,500 6.000 61,500 4,500 (45.750 239,670 51.00 0 Capital Hotel bine Total 236,250 908,400 908,400 + The following information is relevant. 1. Closing inventory was valued at $52.350. 2. Equipment is depreciated by 25% on reducing balance basis. 3. Motor vehicles are depreciated by 20% on straight-line basis.- 4. On 31 May 2018 Johns traded in his motor vehicle for a new one. The new motor veir vehicle (cost $63,000 and the trade-in value of the old motor vehicle was $25,500. AL the time Johns acquired the new motor vehicle, He recorded a cash payment of &37,500 against a new motor vehicle account. No other entries have yet been made regarding this transaction. 5. Accrued wages ht the end of 2014 amount to $4.500X 6. On 1 August 2018 Johns paid $1,800 for insurance which is valid until 31 July 2019. diss7. Trrecoverable receivables of $2,100)need to be written off, or load debts writter 8. Ahmed decides to increase the allowance for receivable by $2,400. Required: a. Prepare John's income statement for the year ending 31" December 2018. b. Prepare John's balance sheet as at December 2018. (15+15 = 30 Marks) ht +