Adjustments 4QQMN501 1) Closing inventories was 12,000,000 on the 31st of December 2021. 2) Corporation tax is 20% for the year, half due now and should be paid in cash and half due in April 2022. 3) Land was revalued from 12,000,000 to 15,000,000. 4) A court case is currently going through the courts in which King's Construction Company Ltd is being sued by an employee due to an injury at work in 2021, in which the solicitors estimate they will have to payout 1,000,000 and that it is probable it will lose the court case. 5) A court case is currently going through the courts in which King's Construction Company Ltd is suing its biggest competitor for 4,000,000 due to copyright infringement, which the outcome of winning the court case is considered probable. 6) Depreciation (all based on reducing balance): a) Office Equipment -20% b) Building Machinery - 15% c) Construction Vehicles - 10% 7) 6,000,000 of the trade receivable figure is considered unrecoverable and should be written-off as bad debts. 8) 5,000,000 of administrative expenses included in the trial balance is actually a prepayment for 2022 financial year. 9) Dividends were distributed to shareholders during the financial year to a value of 4,000,000 in cash. 10) A 1 for 2 bonus issue was given to shareholders. The bonus issue was conducted before the rights issue. The bonus issue should be made using a revenue reserve. 11) A rights issue of 3 for 2 basis, at 500 per share, with 75% of shares bought by shareholders, conducted after the bonus issue. REQUIRED Please prepare a balance sheet and income statement for 31st December 2021 using the trial balance presented on the previous page, ensuring that you make all the requested adjustments. Please also ensure to add notes of any contingent assets and/or contingent liabilities if you consider such an event to have arisen.