Prepare the Statement of Financial Position of Scampi Traders as of 28 February 2022. Note: The Statement of Comprehensive Income and the notes to the financial statement are not required.

INFORMATION The information provided below was extracted from the accounting records of Scampi Traders on 28 February 2022, the end of the financial year.

SCAMPI TRADERS

Pre-Adjusted Trial Balance as of 28 Feb 2022

Balance Sheet Account Section	Dr(R)	Cr(R)
Capital		240 950
Drawings	114 000
Vehicles at cost	285 000
Equipment at cost	165 000
Accumulated depreciation on vehicles		138 000
Accumulated depreciation on equipment		54 000
Trading inventory	105 000
Debtors control	48 000
Provision for bad debts		6 600

Bank 35 850

Creditors control 61 500

Mortgage loan: Maxi Bank (16% p.a.) 105 000

NOMINAL ACCOUNT SECTION

Sales 742 500

Cost of sales 360 000

Sales return 4 500

Salaries and wages 129 000

Bad debts 1 500

Consumable stores 2 300

Rent expense 34 500

Motor expenses 26 700

Bad debts recovered 1 300

Telephone 9 300

Electricity and water 18 600

Bank charges 3 700

Insurance 8 100

Interest on mortgage loan 7 800

Commission income 9 000

1 358 850 1 358 850

ADDITIONAL INFORMATION AND ADJUSTMENTS

1. According to physical stocktaking on 28 February 2022, the following were on hand:

1.1 Trading inventory, R103 000

1.2 Consumable stores, R200. 2. Rent has been paid up to 31 March 2022. Note: The rental was increased by R350 per month with effect from 01 February 2022. 3. A debtor who owed R1 000 was declared insolvent. Forty percent (40%) of the amount owing was received from his insolvent estate on 27 February 2022 and recorded. The balance of his account must now be written off.

4. The provision for bad debts must be decreased by R300.

5. Provide for outstanding interest on the loan from Maxi Bank. Interest is not capitalised. The loan was obtained on 01 March 2021. Loan repayments (excluding interest) totalling R20 000 are expected to be made in the next financial year.

6. The telephone account for February 2022 was due to be paid on 03 March 2022, R800. 7. According to the bank statement, service fees of R200 were levied by the bank. This has not been recorded.

8. Received an amount for R500 from H. Smit whose account was written off previously. No entry was made for this.

9. A debtor whose account of R4 000 was overdue for one month must be charged interest at a rate of 15% per annum.

10. Provide for depreciation as follows: 10.1 On equipment at 10% per annum on cost. 10.2 On vehicles, R19 650.

11. The net profit for the year ended 28 February 2022, AFTER taking the above into account, was R102 050.