Herald (Pty) Ltd is a bottling company. Below is the summarised trial balance for the year ending 30 April 2021.

Additional information to be accounted for:

• On 1 May 2021, the company bought motor vehicles for R87,500 on credit. The company depreciates motor vehicles at 15% using the reducing balance method.
• The following expenses were due and not yet paid at year-end: water at R325 and electricity at R500.
• The monthly rent of R1,250 for the month of April 2021 has not been recorded as it was not paid yet.

Task:

Prepare the following statements:

a) Statement of financial position for the year ended.

b) Statement of profit or loss and other comprehensive in for the year ending 30 April 2021.

Description Revenue 15% Debentures Cost of sales Distribution expenses Tax expense Administrative expenses Debenture interest Ordinary share capital Retained earnings Motor vehicles - cost Motor vehicles accumulated depreciation Accounts receivable Inventory Bank Loan borrowings Accounts payable Shareholders loan Total Debit Rand 50 000,00 18 750,00 3 750,00 26 250,00 937,50 20 875,00 23 750,00 15 000,00 55 125,00 61 312,50 275 750,00 Credit Rand 125 000,00 6 250,00 25 000,00 33 750,00 36 250,00 22 000,00 27 500,00 275 750,00