On 30 June 2019, the following figures were extracted from the general ledger of Nora Ltd. 

Additional information: 

On 30 June 2019, the directors of Nora Ltd resolved to: 

a. Provide for estimated tax liability, $65 000 

b. Transfer $2100 to general reserve 

c. Paid a dividend at the rate of 3 per cent on share capital.

Required: 

1. Prepare an income statement and a note of retained profits for the year ended 30 June 2019. 

2. Prepare a balance sheet as at 30 June 2019.  

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Share capital Retained profits Mortgage Plant Cash Goodwill Accounts receivable Accounts payable Prepayments Accrued expenses Accumulated depreciation Inventory Government bonds DR $ 180 000 26 100 15 000 7 400 620 84 450 10 000 CR $ 156 000 20 000 27 000 5 200 470 55 000