ANY FIVE (5) questions in this section. QUESTION 1 REQUIRED: 1.1 Prepare the projected statement of financial position for the year ended 31 December 2020 for Anglo Limited. [100 MARKS] (20 Marks) (16 marks 1.2 Discuss some of the consequences of overestimating sales when drawing up the sales budget. (4 marks INFORMATION Anglo Limited Statement of financial position for the year ended 31 December 2019 ASSETS Non-current assets Fixed/tangible assets Current assets Inventories Trade and other receivables Cash and cash equivalents Total assets EQUITY AND LIABILITIES R 2 200 000 2 200 000 1 454 000 836 000 528 000 90 000 3 654 000 Shareholders' equity Ordinary share capital Retained earnings 2 244 000 1 500 000 744 000 Non-current liabilities 660 000 Long term loan 660 000 Current liabilities 750 000 Trade and other payables 330 000 Notes payable 420 000 3 654 000 Additional information: Sales for 2019 was R2 200 000 and sales for 2020 is forecast to be R2 400 000 The percentage of sales is used to determine the following balances: Inventories 0 0 Trade and other receivables Trade and other payables A new delivery vehicle costing R320 000 will be purchased in 2020. Total depreciation in 2020 will be R280 000. There will be no change in notes payable and share capital Dividends of R90 000 will be paid in 2020. The business predicts a net profit margin of 8% for 2020. An amount of R80 000 will be repaid for the long term loan. Cash and cash equivalents must be determined. (20 Marks)