Omicron Inc.
 Date: 31 July 2023

Details:

1. Raw material inventory (plastic):
   • Cost: £30,000
   • Replacement cost: £28,000
2. Finished goods inventory:

Product	Alpha	Beta
Direct costs	£65,000	£55,000
Proportion of fixed overhead	£18,000	£16,000
Proportion of selling costs	£5,500	£5,000
Net realizable value	£105,000	£85,000

3. Furniture:
    Acquired on 1 August 2017 for £310,000, depreciated over 10 years using the straight-line method.
4. Buildings:
    Acquired 14 years ago for £2,700,000, land value estimated at £650,000. Buildings are depreciated over 55 years.
5. Research and development:
   • Research costs: £740,000
   • Development costs: £1,330,000, benefiting over 6 years.

Required:
 Analyze the financial statement impact of these items for Omicron Inc. as of 31 July 2023.