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MeKie Ltd has presented you with the following balances for the year ended September 30 . 2023: The following additional information is avalable: 1. At

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MeKie Ltd has presented you with the following balances for the year ended September 30 . 2023: The following additional information is avalable: 1. At September 30,2023 closing inventory was $32,000 2. The Accountant has determined that the estimate for the provision for bad debts at September 30,2023 is 10% of debtors. 3. At the end of the period it was discovered that one employee was owred $2,000 in salaries while another was overpaid by $4,000. Additionally insurance prepaid was $300 4. The following aporopriation of the expenses must be made 5. On June 1, 2023 the company rented some of its office space to Breezy Ltd. At that date Breezy Lid paid rent covering the next nine months 6. 7. Goodwill impairment was estimated to be 20%. 8. Corporation tax is estimated to be $42,000 9. The directors proposed on September 20, 2023 to pay the final preference dividends. At a board of directors meeting on October 19,2023 the directors evaluated the performance of the business over the past financial year and proposed to pay a further 6% ordinary dividend. Required: (a) Prepare the following for McKie Lid for the financial year ending September 30, 2023: i. Statement of Profit or Loss ii. Statement of changes in equity iii. Statement of Financial Position. (20 marks) (8 marks) (12 marks) (b) Calculate the following ratios for McKie Ltd: i. Current ratio ii. Gearing ratio MeKie Ltd has presented you with the following balances for the year ended September 30 . 2023: The following additional information is avalable: 1. At September 30,2023 closing inventory was $32,000 2. The Accountant has determined that the estimate for the provision for bad debts at September 30,2023 is 10% of debtors. 3. At the end of the period it was discovered that one employee was owred $2,000 in salaries while another was overpaid by $4,000. Additionally insurance prepaid was $300 4. The following aporopriation of the expenses must be made 5. On June 1, 2023 the company rented some of its office space to Breezy Ltd. At that date Breezy Lid paid rent covering the next nine months 6. 7. Goodwill impairment was estimated to be 20%. 8. Corporation tax is estimated to be $42,000 9. The directors proposed on September 20, 2023 to pay the final preference dividends. At a board of directors meeting on October 19,2023 the directors evaluated the performance of the business over the past financial year and proposed to pay a further 6% ordinary dividend. Required: (a) Prepare the following for McKie Lid for the financial year ending September 30, 2023: i. Statement of Profit or Loss ii. Statement of changes in equity iii. Statement of Financial Position. (20 marks) (8 marks) (12 marks) (b) Calculate the following ratios for McKie Ltd: i. Current ratio ii. Gearing ratio

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