Biden and Kamala are in partnership operating under the name Bika Enterprises. They import beauty products from Iran which they sell in the local market. In the year ended 2021, they presented the following accounts; Particulars Ksh. Sales 6,000,000 Closing stock 1,500,000 Sundry receipts 450,000 Interest on a deposit account (net) 816,000 Interest on drawings 100,000 Insurance compensation for trading stock 200,000 Dividend from EABL 90,000 Gain on sale of old truck 44,000 Discount received from foreign suppliers 20,000 Foreign exchange gain 80,000 Insurance compensation for vandalism 200,000 9,500,000 Opening stock 800,000 Purchases 3,500,000 Wages 1,200,000 Repair expenses 180,000 Rent and rates to municipal council 40,000 Cargo clearance fees 85,000 Depreciation 300,000 Insurance premium 78,000 Advertising expenses 120,000 Transport to the outlets 86,000 Office telephone expenses 46,000 Fines for late payment of import duty 70,000 Interest on capital paid to partners 600,000 Purchase of office Computers 145,000 Commissions paid to partners 160,000 Donations 100,000 Salaries to partners 800,000 Legal expenses 94,000 Net profit 1,096,000 9,500,000 Additional information: 1. The opening and closing stocks were undervalued by 20% 2. The partners capital contribution was ksh 2 million and ksh 4 million for Biden and Kamala and the interest on capital is based on the proportion of capital contributed. 3. Profits are shared in the ratio 3:2 as per their partnership deed. 4. The commission to partners was as follows: Ksh Biden 82,000 Kamala 78,000 5. The salaries to partners was as follows: Ksh Biden 200,000 Kamala 600,000 6. Legal expenses relates to arbitration of personal dispute between Biden and Kamalas husband. 7. Donations were for a crusade meant to host Randy Morrison whom Biden has such a soft spiritual spot for. 8. Interest on drawings was as follows: Ksh Biden 220,000 Kamala 80,000 Required: i) Compute the adjusted partnership profit (16 marks) ii) Prepare a distribution statement showing clearly each partners share of adjusted income/loss (4 marks) (Total: 20 Marks)