2: Financial Statement (34 marks) Suzanna's business Silver Masts Accommodation is located in a very popular harbourside tourist area. Around the corner from Silver Masts Accommodation is a small convenience store called "Just What You Need" which is owned and operated by Mei Chan. "Just What You Need" has a very small range as it is aimed at tourists who are staying for a short time. Inventory includes bread, the local paper, milk, chocolate, toilet paper, toothbrushes etc. Mei Chan works very long hours and as a result has very little time to do the bookkeeping for her business. Despite how busy she is Mei does all she can to prepare the business records for the accountants. Mei has prepared the following Trial Balance for "Just What You Need" but she realises it is not in the correct order. Just What You Need Adjusted Trial Balance For the year ending 30 JUNE 2022 Debit ($) Credit ($) Shop Furniture & Fittings 39-400 Accounts Receivable 46089 Office Electricity Expense 1000 Accumulated Depreciation-Shop Furniture & Fittings 9000 Office Rem Expense 3650 Cash at Bank 48487 Advertising Payable 9947 Sales 545000 Shop Electricity Expense 568 Purchases 386 210 Mei, Capital 44810 Depreciation Expense-Shop Fumiture & Fittings 3550 Interest received 2310 Freight Inwards 2820 Shop Rent Expense 25650 Accounts Payable 10597 Discount Allowed 3725 Inventory (1 July 2021) 20960 Shop Salaries Expense 28.300 Loan Payable 33600 Allowance for Doubtful Debes 1000 Fuel Expense - Delivery Van 3200 Prepaid Advertising 1:540 Interest Payable 620 Advertising Expense 6547 Purchase retums and allowances 5421 Interest Expense 470 Doubtful Debts Expense 1000 Mei, Drawings 18500 Insurance Expense 1900 Sales Returns & Allowances 8630 Discount Received 3471 Office Salaries Expense 13.300 TOTALS 665496 **The loan was taken out on 30 June 2022 and is payable in equal amounts over 48 months** **A physical stocktake of inventory at 30th June 2022 revealed $46 750 on hand. **Insurance was paid to cover the office equipment. **Insurance was paid to cover the office equipment. QUESTION 2: Financial Statement (continued) In your role as a Graduate Accountant at Copeland & Johnson Accounting Services you have been supplied with the following adjusted Trial Balance for "Just What You Need", prepared at the end of the financial year by Mei Chan. REQUIRED: Using the Trial Balance provided above, prepare the following for the period in question: Fully classified Income Statement by Statement of Changes in Equity marks] Fully classified Balance Sheet (Narrative [16 marks] 14 format) [14 marks] Answer on following page (insert additional pages as required) QUESTION 2: Financial Statement (continued) Using the Trial Balance provided above, prepare the following for the period in question: Fully classified Income Statement [16 marks] QUESTION 2: Financial Statement (continued) Using the Trial Balance provided above, prepare the following for the period in question: Statement of Changes in Equity 14 marks] QUESTION 2: Financial Statement (continued) Using the Trial Balance provided above, prepare the following for the period in question: Fully classified Balance Sheet (Narrative format) marks] 114