From the following trial balance prepare the income statement of Sonia Chapman for the year ending 31 March 2021 and the statement of financial position as at 31 March 2021.

NOTE: PREPARE the statement of financial position in the format

Assets = Capital + Liabilities.

Capital				140,000
Drawings			92,500
Purchases			227,400
Sales				494,350
Inventory 1 April 2020			23,400
Fixtures and fittings			105,000
Provision for depreciation fixtures/fittings				17,200
Motor vehicle			28,000
Provision for depreciation motor vehicle				7,000
Rent			7,000
Gas and Electricity			4,840
Wages			104,420
Motor expenses			5,480
Insurance			13,400
Bank			9,075
Cash			265
Loan (Mitchell)				12,000
Bad debts			450
Provision for bad debts				330
Accounts receivable			72,400
Accounts payable				23,800
Discount allowed			1,500
Discount received				450
			695,130	695,130

Sonia has also provided you with the following information:

1. Inventory at 31 March 2021 has been valued at 18,455.
2. Loan interest is 6% per year on the 12,000 borrowed.
3. She made a payment of 2,400 for rent in February 2021, which was for three months from 1 March 2021.
4. Estimated cost of gas and electricity owing at the year-end was 520.
5. Staff expenses which are included in wages had not been paid for the last week in March, amounting to 642.
6. Sonia makes a provision for bad debts of 2% of the outstanding debtors at the year end.
7. Depreciation is charged on fixtures and fittings at 10% using the reducing balance method and on motor vehicles at 25% on cost.