How does it affect income statement and statement of financial position?

You are helping Agned Led to prepare their accounts for the year ended 31 December 2006 The following Trial Balance has been provided Dr Cr 2000 2000 Inventories at 1 January 20X3 545 Trade receivables 750 Trade payables 600 Share capital: 1 shares 1500 Share premium 750 8% debenture loans repayable 20 Retained profits at 1 January 2073 190 Printing and stationery 750 Provision for doubtfuldebts Wages and salaries 80 Delivery costs 96 Purchases 3,350 Sales revenue Cash at bank 51 Rent and rates Electricity Loan interest paid 48 Property at cost 3.000 Property accumulated depreciation at 1 January 20X3 SO Fixtures and fittings al cost 1.500 Fodures and fittings accumulated depreciation at 1 January 20X33 600 Piant and machinery at cost 2800 Piant and machinery accumulated depreciation at 1 January 2013 1264 Total 14.134 The following additional information is now available LClosing inventory at 31 December 20X3 was 910,000 The rent and rates expense includes a rent payment of 144,000 for the period 1 An electricity invoice for the 3 months ended 31 January 20X4 for E18,000 was received on 2 January 20X4 IV. Bad debts of 30.000 are to be written off The provision for doubtful debts is to be adjusted to be 5% of trade receivables, ather writing off bad debits V. V. Depreciation is to be charged for the year as follows: Property 2% per annum straight-line . Fixtures and fittings 20% per annum straight-line Plant and machinery 25% per annum reducing balance The second instalment of the loan interest on debentures is outstanding at the year end Corporation tax due to the tax authorities of 615.000 is to be accounted for