(a) Prepare an income statement for the year ended 31 December 2021 for Axos Enterprise.

(b) Prepare a balance sheet as at 31 December 2021 for Axos Enterprise.

Question 1 The following is the Trial Balance for Axos Enterprise as at 31 December 2021: Debit ($) Credit ($) 339,300 95,050 680,140 116,980 85,830 Capital Accounts Payable Sales 5-year Bank Loan Accumulated Depreciation-Fixtures and Fittings Accounts Receivable Salaries Sales returns Cash in bank Carriage outwards Fixtures and Fittings at cost Stock at 1/1/2021 Purchases Rental Drawings Electricity Carriage inwards Total 222,800 52,120 11,750 83,800 29,130 286,100 72,050 429,240 83,800 18,400 9,190 18,920 1,317,300 1,317,300 Additional information not accounted for in the trial balance as at 31 December 2021: i) Depreciation for Fixtures and Fittings is to be provided at a rate of 5% per annum on cost using the straight line method. ii) Rental is prepaid by $8,750 as at 31 December 2021. iii) As at 31 December 2021, electricity charges outstanding amounted to $1,230. iv) The closing stock as at 31 December 2021 was valued at $77,820