2. If you were a bank loan officer and South Africa Corporation wanted to borrow R100,000 from your bank, would you lend the money? Explain. (3)

3. Calculate retained earnings at 31 December 2022. (3)

Question 2 [ 20 marks]

1. Name the different types of business forms in South Africa and name one advantage and one disadvantage of each business form. (15)

2. What is meant by the term unlimited liability? State the business forms with this type of liability.

South Africa Corporation has been in the business of delivering small packages for local companies within the City of Tshwane, since the year 2000. The following information concerning financial activities during 2022 is available as at 31 December 2022: 1. Prepare an income statement for the year ended 31 December 2022. (9) 2. If you were a bank loan officer and South Africa Corporation wanted to borrow