Alpha Ltd
 Date: 31 May 2024

Details:

1. Raw material inventory (fiber):
   • Cost: £33,000
   • Replacement cost: £31,000
2. Finished goods inventory:

Product	Lambda	Mu
Direct costs	£65,000	£55,000
Proportion of fixed overhead	£18,000	£16,000
Proportion of selling costs	£5,000	£4,500
Net realizable value	£100,000	£80,000

3. Furniture:
    Acquired on 1 June 2017 for £350,000, depreciated over 10 years using the straight-line method.
4. Buildings:
    Acquired 18 years ago for £2,900,000, land value estimated at £700,000. Buildings are depreciated over 60 years.
5. Research and development:
   • Research costs: £600,000
   • Development costs: £1,050,000, benefiting over 7 years.

Required:
 Prepare the necessary financial statement adjustments for Alpha Ltd as of 31 May 2024.