2.18 LO2/4 You are presented with the following statement of financial position which is an incorrect draft.

Assuming the accounts and amounts are correct, prepare the statement of financial position again, making the necessary corrections.

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Current assets Cash at bank 9,000 Accounts payable 11,000 Plant and machinery 26,000 46,000 Non-current assets Inventory 15,000 Asset revaluation increment 20,000 Motor vehicles 18,000 53,000 Total assets 99,000 Current liabilities Accounts receivable 6,000 Prepayments 1,000 7,000 Non-current liabilities Bank overdraft 14,000 Land and buildings 50,000 Loan 10,000 74,000 Owner’s equity Opening balance 40,000 Minus profit 32,000 Add drawings 10,000 18,000 Total liabilities and owner’s equity 99,000