Piccolo is a trader who financial year ends on 31 December. His trial balance at 31 December 2030 was as follow Dehit Credit S 5 Shop couipment at cost 150 000 Provision for depreciation of machinery 45 000 Motor vehicle 210 000 Provision for depreciation of motor vehicle 25 600 Trade receivables 23460 Trade payables 19720 Inventory at 1 January 2020 13000 Provision for doubtful debts NO Bank 18 540 Staff wages 24023 Electricity 10 120 Shop rental 21 000 Vehicle expenses 16 430 General expenses 5465 Loan interest 1 000 Cash in hand $50 Sales 380 675 Purch 156 228 Sales returns 3150 Purchases returns 4825 Capital at 1 January 2020 122 900 10% Loan (payable 2025) 20000 Discount allowed 6114 Discount received $290 Drawings 13 500 675.000 675 000 The following information is also available 1 The closing inventory at 31 December 2020 was $15 800 2 The provision for doubtful debts is at 5% of trade receivables at year-end. Expenses paid in advance at 31 December 2020 were Shop rental S3 000 Vehicle insurance 5650 Expenses owing at 31 December 2020 were Electricity Loan interest $1000 Depreciation en shop equipment is at 10% per annum using straight-line method ant motor vehicle is at 20% per annum on reducing balance method 4. S75 REQUIRED: Prepare Piccolo's Income Statement for the year ended 31 December 2020, (a) (13 marks) (b) Prepare Piccolo's Statement of Financial Position as at 31 December 2020, (12 marks) ITotal: 25 markal