Mr and Mrs Netyu run a private company, Netyu Toys Ltd$.$ Toys are imported from China. Mr Netyu has asked you to prepare set of financial statements for the year ended $31$ December $2022$ as soon as possible. The company$$s accountant had to take time off due to health issues. The following balances have been extracted from the records of the company for the year ended $31$ December $2022.$

$$

Audit and Accountancy $2,000$

Advertising $1,000$

Bank $1,750$

Creditors $9,200$

Long Term Bank Loan $5,000$

Debtors $43,250$

Directors remuneration $52,000$

Electricity $4,000$

Insurance $1,950$

Fixtures and Fittings

At Cost $150,000$

Accumulated depreciation $($at $1\mathrm{.}1\mathrm{.}2022)45,000$

Motor Vehicle

At Cost $60,000$

Accumulated depreciation $($at $1\mathrm{.}1\mathrm{.}2022)-15,600$

Office expenses $6,300$

Ordinary $1$ shares $($issued and fully paid$)25,000$

Profit and loss account $($at $1\mathrm{.}1\mathrm{.}2022)26,575$

Purchases $286,000$

Rent and rates $15,000$

Sales $-550,000$

Stock $($at $1\mathrm{.}1\mathrm{.}2022)22,500$

Wages and salaries $30,000$

Bank Interest $625$

$676,375676,375$

Additional Information:

$1.$ Stock at $31$st December $2022$ valued at cost amounted to $22,500.$

$2.$ Depreciation is to be provided on fixtures and fittings at $15\%$ on cost$,$ and at $20\%$ on reducing balance method for motor vehicle.

$3.$ Provision is to be made for rent and rates for $1725.$

$4.$ Insurance paid in advance at $31$st December $2022$ was $500.$

Required

$1.$ Prepare Income statement for the year ended $31$st December $2022$