Although Deborah Adefowope has run a small business for many years, she has never kepe adequate accounting records. However, a need to obtain a bank loan for the expansion of the business has necessitated the preparation of "final accounts for the year ended 31 August 2009. As a result, the following information has been obtained after much careful research: 1. Deborah Adefowope's business assets and liabilities are as follows: As at 1/09/08 31/08/09 Stock in trade GHS8,600 GHS16,800 Debtors for sales 3.900 4.300 Creditors for purchases 7,400 8.900 Rent prepaid 300 420 Electricity accrued due 210 160 Balance at bank 2,300 1.650 Cash in hand 360 330 2. All takings have been banked after deducting the following payments: Cash drawings - Deborah Adefowope has not kept a record of cash drawings but suggests these will be in the region of GHS8,000 Casual labour 1.200 Purchase of goods for resale 1.800 Note: takings have been the source of all amounts banked. 3. Bank payments during the year ended 31 August 2009 have been summarised as follows GHS Purchases 101.500 Rent 5,040 Electricity 1,390 Delivery costs (to customers) 3.000 Casual labour 6,620 4. It has been established that a gross profit of 33% on cost has been obtained on all the goods sold 5. Despite her apparent lack of practice accounting records, Deborah is able to confirm that she has taken out of the business during the year under review goods for her own use costing GHS600 Required: 2. Prepare a computation of total purchases for the year ended 31 August 2009 b. Prepare an income statement for the year ended 31 August 2009 and a statement of financial position as at that date Question five The following is the Receipts and Payments of Bachelors and Spinsters Club during the year ended 31" December 2009 RECEIPTS AND PAYMENTS GHS'000 GHS 000 Cash and bank balance (1/1/09) 300,000 Honorarium to pastors 12,000 Sale of competition tickets 150,000 Publicity of Miss Spinster 100,000 Membership subscription: 2008 44,000 Donation to charity 45.000 2009 366,000 Rent 13.000