Awethu (Pty) Ltd is a manufacturing company that has 31 December as its financial year-end. The company has 100 000 ordinary shares in issue. A listed company is interested in acquiring a controlling interest in Awethu (Pty) Ltd You are provided with the 20X1 actual financial results as well as projected results from 20X2 to 20X4 as follows: Statement of financial position of Awethu (Pty) Ltd as at 31 December: ASSETS 20x1 actual 20x2 20x3 20X4 projected projected Projected R R R R Non-current assets: Property, plant and equipment 825 000 565 000 292 500 Other investments 410 000 1010 000 1 410 000 32 500 1910 000 1235 000 1575 000 1 702 500 1942 500 Current assets: Inventory 10 000 11000 5 000 1500 Accounts receivable 15 000 16 000 14 000 10 000 Cash 50 700 30 890 75 139 46 993 75 700 57 890 94 139 58 493 Total Assets 1 310 700 1632 890 1796 639 2000 993 EQUITY AND LIABILITIES Shareholders' equity: Ordinary share capital and reserves 799 700 1025 890 10% Preference shares 200 000 999 700 200 000 1225 890 1289 639 200 000 1 489 639 1593 993 200 000 1793 993 Non-current liabilities: Loan (at 12% per year) Current Liabilities: Accounts payable Accrued expenses 300 000 396 000 296 000 196 000 10 000 1000 11 000 10 000 1000 11000 10 000 1000 11 000 10 000 1000 11000 Total Equity and Liabilities 1 310 700 1632 890 1796 639 2000 993