REQUIRED Use the information provided below to prepare the Statement of Comprehensive Income for the year ended 31 December 2022.

INFORMATION

The information given below was extracted from the accounting records of Questor Ltd on 31 December 2022 (the end of the financial year). QUESTOR LTD PRE-ADJUSTMENT TRIAL BALANCE AS AT 31 DECEMBER 2022

Balance Sheet Accounts Section Debit (R) Credit (R)

Ordinary share capital 960 000 Credit (R)

Retained earnings 120 000 Credit (R)

Land and buildings 1 620 000 Debit (R)

Vehicles (cost) 690 000 Debit (R)

Equipment (cost) 258 000 Debit (R)

Accumulated depreciation on vehicles 150 000 Credit (R)

Accumulated depreciation on equipment 120 000 Credit (R)

Debentures (12% p.a.) 780 000 Credit (R)

Inventory (31 December 2021) 300 000 Debit (R)

Debtors control 105 000 Debit (R)

Provision for bad debts 6 000 Credit (R)

Bank 39 000 Debit (R)

Creditors control 279 000 Credit (R)

South African Revenue Services (Company tax) 87 000 Debit (R)

Nominal accounts section

Sales 2 880 000 Credit (R)

Purchases 1 230 000 Debit (R)

Sales returns 90 000 Debit (R)

Purchases returns 90 000 Credit (R)

Carriage on purchases 54 000 Debit (R)

Municipal rates 45 000 Debit (R)

Carriage on sales 30 000 Debit (R)

Wages and salaries 240 000 Debit (R)

Stationery 33 000 Debit (R)

Bad debts 36 000 Debit (R)

Insurance 39 000 Debit (R)

Directors fees 144 000 Debit (R)

Other operating expenses 285 000 Debit (R)

Ordinary share dividends 60 000 Debit (R)

Debit R TOTAL : 5 385 000 Credit R TOTAL 5 385 000

Additional information

1. Physical stocktaking on 31 December 2022 revealed the following inventories:

1.1 Trading inventory, R210 000

1.2 Stationery, R3 000.

2. The municipal rates increase by 20% each year on 01 July. The rates expense for December 2022 was due to be paid on 02 January 2023. 3. Depreciation must be provided for as follows:

3.1 On equipment at 15% per annum on cost.

3.2 On vehicles at 20% per annum on the diminishing balance. Note: A vehicle that cost R300 000 was purchased on 01 October 2022. This transaction has been recorded.

4. No entry was made for a debtor who was declared insolvent and was only able to pay R1 800, which represented 60% of the amount that she owed. The balance of her account must also be written off.

5. The insurance total includes an insurance premium of R7 200 that was paid for the period 01 May 2022 to 30 April 2023.

6. An amount of R36 000 was owed for directors fees and was due to be paid on 02 January 2023.

7. The provision for bad debts must be increased to R6 300.

8. Provide for interest on debentures that is yet to be paid.

9. The company tax calculation based on the profit for the year revealed that an amount of R31 188 is owed to South African Revenue Services