Example 14.1: As the accountant is unavailable, your help has been requested with the preparation of the year-end accounts of Ace Tours Limited. The following data is provided. Extracts from the Statement of Financial Position as at 1 June Non-current liaibilities 10% debenutres Equity Ordinary share capital (1 million shares $3 each) 8% preference share capital Share premium Fixed asset replaced reserve Retained Earning/Accumulated profit General Reserve Transactions paid during the year Ordinary share dividend paid Debenture interest paid $ 500,000 3,000,000 600000 700,000 150,000 440,000 60,000 4,950,000 60,000 35,000 Operating profit (before interest and tax) for the year amounted to $950,000. The following information is available at the year-end 1. The preference share dividend should be accrued for 2. Outstanding debenture interest should be provided/accrued for. 3. Corporation tax of $80,000 should be provided for. 4. A transfer of $50,000 to the general reserve is proposed Required 1. Prepared a statement of changes in equity for the year ended 31 May 2. Show extraexd from current liabilities as at 31 May