DBA21 20 Financial Accounting Midterm 7. The following trial balance was extracted from the books of Shanker, a sole trader as at the close of business on 30 June year 2020 Capital Debit (RM) Credit (RM) 6,400 Wages & Salaries 6,800 Discount allowed & Received 260 340 Purchase & Sales 12,830 2,600 26,700 Rent Bad debts Drawings 420 2,450 Delivery van 1,800 Bank overdraft 2,200 Sales return 340 Office furniture & equipment 1,600 Van running expenses 780 Rates & insurance 760 Debtors & Creditors 4,650 2,950 General office expenses 320 Opening stock 2,930 Cash 50 38590 38590 Additional information: + 1. Provide for depreciation as follows Delivery van - RM 600 Office Furniture and equipent-25% per annum on cost 2. Provision of 2% of debtors is to be created for doubtful debts 3. Stock at 30 June, RM 3,160 a. Prepare a income statement for the year ended 30 June 2020. (24marks) +