Bl. The following trial balance was extracted from the books of Metaverse Trading Limited as at 31 December 2021. Trial Balance as at 31 December 2021 Dr. Cr. $ $ Purchases Insurance 2,366,800 78,000 Bank loan interest 57,000 Returns inwards 48,000 Sales 6,180,600 Rent and rates 1,186,000 Carriage inwards 56,000 Marketing expenses 489,320 Bank overdraft 155,568 Bank loan, repayable on 1 July 2024 800,000 Carriage outwards 37,620 Inventory, at 1 January 2021 744,000 Salaries and wages 1,580,300 Trade receivables 1,338,871 Cash 37,088 Office equipment, at cost 1,416,000 Delivery vans, at cost 763,000 Accumulated depreciation, at 1 January 2021 - Office equipment 392,000 - Delivery vans 278,720 Allowance for doubtful debts, at 1 January 2021 15,000 Discounts received 45,500 General reserve 600,000 Ordinary share capital 1,000,000 Retained profits, at 1 January 2021 150,000 Returns outwards 32,000 Trade payables 548,611 10,197,999 10,197,999 Additional Information: (1) Cash sales of $3,693 had been wrongly recorded as a cash received of $3,963 from a trade receivable. (2) Allowance for doubtful debts at 31 December 2021 was to be increased to $21,000. (3) A cash payment of marketing expenses of $7,000 was wrongly recorded as a cash payment of credit purchases. (4) An invoice of $31,500, relating to insurance covering the seven-month period from 1 September 2021 to 31 March 2022, was paid and recorded in 2021. (5) The estimated income tax expense for the year was $18,800. (6) The board of directors had decided to transfer $50,000 out of the current year's profit to general reserve. (7) Inventory at 31 December 2021 was valued at $691,324. (8) No entry had yet been made in the books in respect of a cheque of $5,000 received from a customer on 30 December 2021 towards the payment of a debt of $10,000 that had been written off as bad debts in 2020. (9) Depreciation was to be provided for non-current assets as follows: Office equipment Delivery vans 10% per annum using straight-line method 20% per annum using reducing balance method (10) Rates amounting to $12,000 for the three months to 28 February 2022 had not yet been paid and recorded. Required: Prepare, for Metaverse Trading Limited. (a) year-end adjusting double entries as at 31 December 2021 for items (1) to (5) as (b) shown above; (11 marks) a Statement of profit or loss and other comprehensive income (with expenses classified by function) for the year ended 31 December 2021; and (c) a Statement of financial position as at 31 December 2021. (23 marks) (22 marks)