Leagrave Ltd is a wholesaler of bags and accessories that has been operating for a number of years. The ledger of Leagrave Ltd. contains the following account balances as at 31 May 2017, the end of the financial year.

LEAGRAVE Ltd TRIAL BALANCE AS AT 31 MAY 2017	Debit	Credit
Property, at cost	120,000
Equipment, at cost	80,000
Accumulated depreciation (as at 1 June 2016)
on property		20,000
on equipment		38,000
Purchases	235,000
Sales		402,200
Inventory, as at 1 June 2016	50,000
Wages and salaries	58,800
Selling expenses	22,600
Loan interest	5,100
Other operating expenses	17,700
Trade payables		36,000
Trade receivables	38,000
Cash in hand and at bank	1,600
Dividends paid	24,000
17% long-term loan		30,000
Ordinary shares 1, as at 1 June 2016		80,000
Retained profits, as at 1 June 2016		46,600
	652,800	652,800

The following additional information as at 31 May 2017 is available:

Closing inventory has been valued at cost at 42,000.

Depreciation for the year ended 31 May 2017 has still to be charged as follows: Property: 1.5% per annum using the straight-line method

Equipment: 25% per annum using the reducing balance method

Required:

1) Prepare Leagrave Ltd.s Statement of Profit and Loss and the Statement of Changes in Equity for the year ended 31 May 2017 and the Statement of Financial Position as at that date. Provide the statements with proper headings. (Ignore Taxation)