Jonas & Sons Ltd. prepares control accounts at the end of each month. For December 2022, balances and transactions were as follows: $ Opening creditors ............................................................. 7 660 Opening debit balance on: Creditors ledger ....................................................... 100 Opening debtors ............................................................ 17 100 Opening credit balance on: Debtors ledger ........................................................... 100 Transactions for the month: Credit sales ............................................................... 42 100 Discount received ......................................................... 960 Sales returns ................................................................ 890 Discount allowed ......................................................... 700 Cheques from customers dishonored .......................... 470 Payments to creditors .............................................. 23 750 Credit purchases ...................................................... 33 650 Cheques from credit customers ............................... 29 420 Cash refund to customers ............................................ 270 Bad debts written off ................................................. 1 100 Amount settled by contra .......................................... 3 500 Closing credit balance on debtors ledger ................... 140 Closing debit balance on creditors ledger .................... 80 a. Prepare the debtors and creditors control accounts for Jonas & Sons Ltd. for December 2022 (11 marks) b. Explain and give one example of each of the following: (i) errors of omission (3 marks) (ii) errors of commission (3 marks) (iii) errors of original entry (3 marks) [Total 20 marks] Question 1 The Trial Balance below was extracted from the books of N. Phillips Enterprises on December 31, 2022. ACCOUNT DR CR $ $ Cash 4,000 Bank 30,000 Accounts Receivable 289,000 Provision for Bad Debts 8,000 Closing Stock 70,000 Bills Receivable 9,000 Machines 500,000 Furniture & Fixtures 100,000 Provision for Depreciation (Jan. 1, 2016) Machines 100,000 Furniture & Fixtures 30,000 Creditors 25,000 Long-term Loan 150,000 Capital 677,000 Drawings 20,000 Sales 915,000 Bad Debts Recovered 6,000 Cost of Sales 535,000 Wages & Salaries 210,000 Rent Expenses 50,000 Insurance 53,000 Travelling 4,000 Stationery 18,000 Interest Expense 30,000 Water & Electricity 46,000 Discounts Allowed 3,000 1, 941,000 1, 941,000 The following additional information was available at December 31, 2022: i. J. Smith who owes the business $4,000 migrated. It is expected that Smith will not pay the $4,000. Write off the $4,000 as bad debt. ii. The provision for bad debts should be 5% of debtors. iii. Rent expense accrued, $10,000. iv. Insurance prepaid, $14,000. v. The machines are being depreciated on the straight-line basis at a rate of 20% per annum on cost. vi. The furniture and fixtures are being depreciated on the straight-line basis at a rate of 10% per annum on cost. vii. Loan repayment (principal) due within the next 12 months is $25,000. Required: (i) Prepare the Income Statement for the financial year ended December 31, 2022 (10 marks) (ii) Prepare the Statement of Financial Position (Balance Sheet) as at that date