Prepare an income statement for the year ended 30 June 2012 given the following account balances. (Note: Some accounts may not be relevant.)

Cash 3000

Sales 280000

Salary and wages 37000

Accounts receivable 15000

Loan interest 4000

Insurance 2000

Loan 40000

Telephone and postage 500

Rent and rates 12400

Cost of sales 160000

Inventory 11000

Accounts payable 9100

Heat and light 3700

Motor vehicles 32000

Equipment repairs 1600

Depreciation motor vehicles 4500

Motor vehicle running costs 1700

Depreciation equipment 3200

Royalties received 1700

Accounting and audit 3400

Bad and doubtful debts 800