Prepare the Statement of Financial Position as at 28 February 2022. The notes to the financial statements are not required. (20 Marks)

INFORMATION

The trial balance, adjustments and additional information given below were extracted from the accounting records of Woodford Limited for the financial year ended 28 February 2022.

WOODFORD LIMITED

PRE-ADJUSTMENT TRIAL BALANCE AS AT 28 FEBRUARY 2022

	Debit R	Credit R
Balance sheet accounts section
Capital		1 000 000
Retained earnings		300 000
Land and buildings	878 000
Vehicles at cost	572 000
Equipment at cost	480 000
Accumulated depreciation on vehicles		384 000
Accumulated depreciation on equipment		168 000
Fixed deposit: Fin Bank (9% p.a.)	144 000
Trading inventory	123 000
Debtors control	146 000
Provision for bad debts		8 000
Bank	120 000
Cash float	7 000
South African Revenue Services: Company tax	30 000
Creditors control		134 000
Mortgage loan: Fin Bank (12% p.a.)		240 000
Nominal accounts sectio
Sales		1 635 000
Cost of sales	432 000
Sales returns	9 000
Salaries and wages	427 000
Bad debts	13 000
Stationery	21 000
Rates and taxes	57 000
Motor expenses	96 000
Directors fees	120 000
Audit fees	20 000
Repairs to building	17 000
Telephone	32 000
Electricity and water	48 000
Bank charges	6 000
Insurance	62 000
Interest on mortgage loan	19 000
Interest on fixed deposit		10 000
	3 879 000	3 879 000

Adjustments and additional information

1. The telephone account for February 2022 was due to be paid on 03 March 2022, R4 000.

2. A debtor, P. Martin, was declared insolvent. His account must now be written off, R3 000.

3. Stocktaking on 28 February 2022 revealed the following on hand: 3.1 Trading inventory R121 000 3.2 Stationery R1 000

4. The provision for bad debts must be increased by R700.

5. Directors fees unpaid amounted to R14 000.

6. The insurance total includes an amount of R6 000 that was paid for the next accounting period.

7. Provide for the outstanding interest on the mortgage loan, R9 800. Interest is not capitalised. Loan repayments (excluding interest) totalling R30 000 are expected to be made in the next financial year.

8. Provide for outstanding interest on fixed deposit. Interest is not capitalised. The investment in fixed deposit was made on 01 March 2021 and it matures on 28 February 2024.

9. Provide for depreciation as follows:

9.1 On equipment, R72 000. 9.2 On vehicles, R37 600.

10. Company tax for the financial year ended 28 February 2022 amounted to R39 860.

11. The profit after tax for the year ended 28 February 2022 amounted to R93 000, AFTER the above was taken into account.

12. A final dividend of 80 cents per share was declared by the directors.