(20 Marts) QUESTION 5 Prepare the Statement of Financial Position at 31 December 2020. The notes to the financial statement annot required. Show working in the spaces provided. INFORMATION The information given below was extracted from the accounting records of Merewet Lad on 31 December 2020 (the end of the financial year) MEREWENT LTD PRE-ADJUSTMENT TRIAL BALANCE AS AT 31 DECEMBER 2020 Debit Credit (R) Balance Sheet Accounts Section 320 000 Ordinary she capital 40 000 Retained earings 540000 Land and buildings 130 000 Vehicles (cost 100 000 Equipment (cost) Accumulated depreciation on vehicles 50 000 Accumulated depreciation on equipment 40 000 Debentures (10% pa) 260 000 Debtors control 36 000 Provision for bad debts 2000 Bank 23 000 Creditors control 93 000 South Alnican Revenue Services Company tax) 29 000 Nominal accounts section Sales 757 000 110 000 Opening inventory Purchases 411000 5000 Sales retums Pucho 33 000 Carriage on purchase 8000 Maintenance 7000 Municipal rates 5000 Carriage on sale 10 000 Wages and are 80 000 Stationery 1000 Baddebos 2000 Sundry expenses 7000 3000 Insurance 7000 Telephone Water and electroly 8000 Director's 48000 Desctors' fees 8000 Auditor's 5000 Ordinary where dividende 20 000 1585.000 1585000 Adjustments and additional information Physical socktaking on 28 February 31 December 2000 ranked the following intotes 1.1 Trading inventory, OO 000 1.2 Stationery, R200 2 A notice from the municipality tected an amount of 200 that was paid for municipal sites for the next financial year Depreciation must be provided for as low 3.1 On vehicles R16000 11 Trading matery, RS 000 12 Suonery, R200 2 Aradice from the municipally lected on amount of Food that was paid for musical for the next fewcal Depreciation must be provided for as follows 3.1 On vides R16000 1.2 A On equipment. R10 000 A debtor who owed R1 000, was declared solvent Receive R400 of the amount owing from insolvent estate. The balance of his account must now be with of No entries were made for these tractions 2011 A debtor, who owed R1 000, is dedored insolvent. Received R400 of the amount owing from his insolvent estate. The balance of his secount must now be written ofl. No enties were made for these transactions The insurance total includes a premum of R100 that was paid for January 2021. An amount of R2 000 was due to be paid for audit fees on 02 January 2021. 7. The provision for bad debts must be increased to R2 200 Provide for interest on debentures that is yet to be paid, R25 000 The company tax for the year amounted to R33 000. The profit after tax AFTER taking the above information into account was R75 700, 10 The final dividend dedared on 31 December 2020 amounted to R50.000