(a) Imogen runs the Manor Park Hotel in Powys, Wales. She purchased the 50 bedroom hotel 10 years ago. She in wondering if the businoss is trading as well as it could bo and would like a report stating how we feel things are. This she can then discuss with her fiance. Samanthe, as they are wondering if now is the right time to expand and perhaps form a company. or for her to sell the business and look for a new venture with her soon to be wife? (b) The Triat Balance as at 31 December 2022 is as below: Irial Balanceas at 31/12/2022 NOTES: 8 Further information during 2022 the following transactions took phace: 1. As at 31/12/2022 the stock of food and liquor was E12,000. 2. A 22,100 bill for Gas and Electricity for the quarter to 31/12/2022 has just been recerved and is not included yet in the trial balance. 3. The General expenses includes a prepayment of f,500 for their premises insurance. 4. The Loan with Virgin Money Bank attracts a foxed interest rate of 8%,.a. and has not been included for the year. 5. Telephene payments made contain an advance rental payment in respect of their switchboard of E1,000 and is for the year ending September 2023 . 6. Accrued wages due on 31/12/2022 are f1,300. 7. Business rates paid so far are for only 9 months of the year. The final payment for 1. As at 31/12/2022 the stook of food and iquor was f12,000 2. A f2,100 bil for Gas and Electicity for the quarter to 31,12/2022 has just been received and is not included yet in the trial belance: 3. The General oxpenses includes a prepayment of E1.500 tor their premises insurance. 4. The Loan with Virgin Monay Bank attracts a foxed interest rate of 8% pa. and has not been included for the year. 5. Telephone payments made contain an advance rental payment in respect of their switchboard of 1,000 and is for the year ending Soptember 2023 . 6. Accrued wages due on 31/12/2022 are E1,300. 7. Business rates paid so far are for only 9 months of the year. The final payment for the remaining 3 months is due but not yet paid. 8. Provide for depreciation of Equipment and Furniture \& fittings at 20% using the reducing balance method. 9. China and glass etc has been revalued at 7.960. Cont... Required: i) Prepare an income Statement and a Statement of Financial Position for imogen for the year ended 31 st December 2022 and as at that date. (32 Marks) ii) Based on the documents you have prepared, comment how efficiently the business has performed during the year and whether you think forming a Company is a good idea. (maximum 350 words) (8 Marks) (Total 40 marks) Part 2 If Imogen's business is expected to grow in 2023 she thinks she is going to need additional funds to renovate and upgrade some of her guest rooms and possibiy expand into providing Spa facities. She has applied for an additional bank loan to invest in helping sowards the upgrade costs and provide working capital. The amount asked for is 150,000 towards a renovation cost of 250,000. The bank has asked for a cash budget for the next six months ending 3006/2023 imogen would expect to pay for the upgrades in even amounts form February onwards for 5 months. Imogen has