Boston, a trading company, presents its trial balance for year/ending 31 December 2019: E E 510,000 80,000 120,000 110,000 40,000 36,000 105,750 615,200 3,800 990,600 Non-current assets at cost (1-1-19): Plant and equipment Vehicles Fixtures Provision for depreciation (1-1-19): Plant and equipment Vehicles Fixtures Inventory (1-1-19) Purchases Carriage-in Sales revenue Sales returns Business rent Heat and power Wages Loan interest Vehicle running expenses Irrecoverable debt Allowance for debts over 12 months Receivables Payables Commission to agent Drawings Loan (10%) Bank Capital (1-1-19) 4,600 60,000 30,000 90,000 8,000 7,000 3,500 1,800 152,000 70,150 4,000 18,000 160,000 220,000 183,300 1.811.850 1.811,850 Notes: 1. Inventory at 31 December 2019 was valued at 145,000. 2. Wages for Boston are 8,000 per month. 3. Depreciation is recorded as follows: Plant and nt, 20% reducing balance Fixtures, 5% straight line Vehicles, 10% straight line 4. During the year Boston disposed of a vehicle it had purchased in 2017 for 30,000. Disposal value was 15,000. No entries have been made in the books to reflect this VI 1920 2020 Northern Consortium Ltd. Page 3 of 8 IDBFNOO1 Financial Accounting 1 transaction. (Note, rather unusually Boston charges a full year's depreciation on assets in the year of disposal and acquisition, regardless of time scale.) 5. On reviewing the accounts Boston's auditor discovers that it has double paid a vehicle maintenance charge to Newark Garages of 1,000. This can be treated as an advanced payment against future bills in 2020. 6. The utility bill (heat and power) has been settled to 1 April 2020. 7. Boston has still to settle its rent charge for November and December 2019 (rent accrues evenly throughout the year). 8. Boston's agent eams commission of 1% on all sales up to 500,000. 9. Boston has 50,000 of receivables aged at 12 months or greater. Experience suggests allowance on those should be 10%. Required: (a) Prepare a statement of profit or loss for Boston for year ended 31 [22] December 2019 and a position statement as at that date