Gushungo Traders The following list of balances has been extracted from the books of Gushungo Traders for the year ended 31 August 2020: Capital 31 August 2019 Net income for the year (note 1) Drawings Rand 690 000 317 920 60 000 Property, Plant and Equipment - Cost price (note 1) Accumulated depreciation - 31 August 2019 (note 1) Long-term investment at cost 12% Loan from FBN Bank - repayable on 31 August 2022 Rent received in advance 1 000 000 292 080 100 000 110 000 8 400 Accrued utilities expense Marketing expenses prepaid Account Payables Accounts Receivable Provision for credit losses Inventories Cash and cash equivalents Bank overdraft Additional information: Note 1: 4 000 11 600 51 600 100 400 10 000 160 000 72 000 20 000 Depreciation for the current year has not yet been provided for. Thus the net income for the year included in the above list of balances for the year excludes depreciation for the year. Property, plant and equipment consist of the assets below: Type of asset Land Office equipment Machines Vehicles Cost price Depreciation method R600 000 No depreciation on land R80 000 10% on the straight-line method t Paper $1 2020LV1.0 Page 5 of 11 R120 000 16.6% on the straight-line method R200 000 20% on the straight-line method Source: Makumire, I. (2020) Required 2.1 Prepare the statement of changes in equity for Gushungo Traders as at 31 August 2020. (8 Marks) 2.2 Prepare the statement of financial position for Gushungo Traders as at 31 August 2020. (12 Marks)