QUESTION FOUR $(20$ MARKS$)$REQUIREDUse the information provided below to prepare the:$4\mathrm{.}1$ Pro Forma Statement of Comprehensive Income for the year ended $31$ December $2025.4\mathrm{.}2$ Pro Forma Statement of Financial Position as at $31$ December $2025.($Note: except where otherwise stated, the percentage of sales method is not required$)(6$ marks$)(14$ marks$)$INFORMATIONNEWPARK LIMITEDSTATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED $31$ DECEMBER $2024$RSales $920000$Cost of sales $(414000)$Gross profit $506000$Depreciation $(145000)$Other operating expenses $(184000)$Interest expense $(25300)$Profit before tax $151700$Income tax $(27\%)40959$Profit after tax $110741$PROFORMA STATEMENT OF FINANCIAL POSITION AS AT $31$ DECEMBER $2024$RASSETSNon$-$current assets $1450000$Fixed Assets $1450000$Current assets $450800$Inventories $138000$Trade and other receivables $202400$Cash and cash equivalents $110400$Total assets $1900800$EQUITY AND LIABILITIESEquity $1292300$Ordinary share capital $(600000$ shares$)600000$Retained earnings $692300$Non$-$current liabilities $230000$Long term loan $230000$Current liabilities $378500$Trade and other payables $276000$Income tax payable $82500$Current portion of long$-$term loan $20000$Total equity and liabilities $1900800$Additional information$1.2.3.4.5.6.7.8.9.10.$ Sales for the year ending $31$ December $2025$ are expected to amount to increase by $20\%.$ The gross profitpercentage for $2025$ is expected to be the same as in $2024$New machinery costing R$220000$ will be purchased during July $2025.$ Total depreciation for the year ending $31$December $2025$ is expected to amount to R$156000$Interest expense for $2025$ will amount to R$22770$The following is determined using the percentage of sales method:i$.$ Other operating expensesii. Inventoryiii. Trade and other receivablesiv. Cash and cash equivalentsv. Trade and other payables$\mathrm{.}50000$ ordinary shares will be issued in January $2025$ at R$2$ each.Dividends of $20$ cents per share will be declared in November $2025$ and will be paid in January $2026.$Income tax payable for $2025$ will be settled in the first quarter of $2026$R$23000$ of the long$-$term loan will be repaid during $2026$Any surplus will be invested in long term financial investmentsAny deficits will be funded by a long$-$term loan.