Disney Ltd Disney Lid was incorporated on 1 March 2017 with an authorised ordinary share capital of R300 000, of which half was issued. On 29 February 2020, an extract from the balances in the records of the company reflect the following: R Share capital (300 000 shares) 150 000 Investments 77 000 Credit losses 11 400 Bank (favourable) 9 360 Long-term loan: Goofy Bank (at 5% interest) 60 000 Land and Buildings at cost 250 000 Office Equipment at cost 6 080 Vehicles (for general use) at cost 21 740 Accumulated depreciation: (1 March 2019): On Office Equipment 880 On Vehicles 5 220 Allowance for credit losses 2 800 Accounts receivable 80 360 Accounts payable 85 780 Retained earnings (1 March 2019) 23 050 Sales 600 725 Cost of Sales 307 145 Inventory 14 750 Advertising 12 500 Insurance 7 000 Salaries and wages 150 500Additional Information: 1. Depreciation should still be written off as follows: . Office equipment at 10% on diminishing balance method. Vehicles at 20% on straight line method. Take into account that a vehicle with a cost price of R10 340 and accumulated depreciation of R2 068 was sold on 29 February 2020 for R9 000. All entries in regard to the asset disposal has been made. . Land and buildings are not depreciated. 2. A receivable has been declared insolvent. His estate paid out 40c on the rand. He owed R5 500. The amount received has been recorded but the remaining amount should still be written off. 3. The salaries and wages included the following: . Directors remuneration for three (3) directors. Each received R20 000 for the year. . Auditors fees of R5 000 . Sales staff salaries R40 500 . The remaining amount was paid to office staff 4. Adjust the allowance for credit losses to 2% of the account receivables 5. Insurance for two months was prepaid. 6. The business only received the account for advertisements of R500, placed in the local newspaper, on the 28th of February 2020 and could not settle this account before the 8th of March 2020. The investments consist of: . Investment in Donald Duck Ltd: R67 000 . Investment in Mickey (Pty) Ltd: R10 000 (fair value - R12 000) 8. Provide for tax of R5 000 for the year. 9. Provide for interest on the loan. The loan was made on the 1st of September 2019. Source: Klopper, J. 2019 Required Prepare the statement of profit and loss and comprehensive income of Disney Lid for the year ended 29 February 2020. (25 Marks)