Question 2 - Financial Reporting Escape from LA is a business selling electrical goods owned and operated by Kurt Russell. The following adjusted trial balance has been prepared at year's end. Please see next page for requirements for this question. Credit (5) 17 800 337 800 ESCAPE FROM LA-TRIAL BALANCE AS AT 30 JUNE 2019 Debit (5) Cash 32 600 Accounts Receivable 26 900 Doubtful Debts Expense 1 700 Inventory (1 July 2018) 43 100 Rent Expense 1 800 Interest Expense 1500 Telephone Expense 970 Wages Expense 19 500 Accumulated Depreciation - Equipment Freight In Expense General Expense 17 820 Capital (1 July 2018) Drawings 17500 Sales Income Sales Returns 22 450 Discount Allowed 7450 Purchases 157 200 Purchases Returns Discount Received Freight Out Expense 2 150 Accounts Payable Equipment 145 000 Electricity Expense 2 840 Depreciation Expense - Equipment 2 800 Loan Payable Allowance for Doubtful Debts Salaries Expense 37 720 Advertising Expense 4 750 Prepaid Rent 6.950 5 200 1940 26 200 48 500 1 700 Closing Inventory at 30/6/19 was S52 700 Question 2 (Continued) Required: (a) Calculate the balance for Capital at 30th of June 2019. (2 marks) (6) Prepare a fully classified Income Statement for the year ended 30th June 2019. (10 marks)