1. prepare a basic income statement and a balance sheet for the Year Ending 31st March 2022 based on a trial balance attached to appendix A. Make sure it meets relevant accounting principles, conventions, and standards. Show appropriate adjustments, such as accruals, prepayments, bad debts, and depreciation to the income statement.

Appendix A-Trial Balance Owner's capital Sales Revenue Opening stock Purchases Rent and Rates Wages & Salaries Utility Bills Machinery & bequipments Van Interest on Bank Loan Bank loan Trade creditors Debtors Provision for doubtful debts Cash in hand & Bank Insurance premium Petrol & Reapirs Village-Wide Catering Company Trial Balance For the Year ending 31st March 2022 Debit 20,500 82,000 14,400 65,200 8,000 80,000 12,000 500 16,900 8,500 27,200 2,200 500 337900 Credit 4. Depreciate Van by 25% 5. Rent & Rates includes 1,000 paid in advance 6. Utility used, but bill amounting to 500 not paid yet. Requirements: Prepare Income statement Statement of Financial Position (Balance Sheet) 100,000 179,200 45,000 13,700 End of the year adjustment entries: 1.Closing stock, 12,500 2. Depreciate manchinery & equipment by 20% using stratightline Method 3. Write off 20% Bad debts 337900