. Putrajaya Steel produced the following balances from manufacturing as at 31.12.2016 Stock at 01.01.2016 Raw Material 7,450.00 Work In Progress (factory cost) 5,330.00 Finished Goods (Transfer value) 2,110,00 Purchase of Raw Material 128,740.00 Purchase returns 310.00 Direct Expenses 3,280,00 Returns Inwards 1,215.00 Carriage Inwards 1,055.00 Rates 5,250.00 Light heat and Power 3,270.00 Direct Wages 187,240.00 Indirect wages 14,320.00 Telephone 890.00 Factory Repairs 2,215.00 Insurance 1,420.00 Factory salaries 38,000.00 Office Salaries 24,000.00 Sales Salaries 27,435.00 160,000.00 64,000.00 Plant and Machinery (at cost) Provision for Depreciation of plant and Machinery (at 01.01.2016) Bad Debts (written of Sales 325.00 721,560.00 Furniture and Equipment (at cost) Factory 42,000.00 Office 48,000.00 Provision for Depreciation of furniture and equipment (at 01.01.2016) Factory 8,400.00 Office 9,600.00 Furniture and Equipment (at cost) Factory 42,000.00 Office 48,000.00 Provision for Depreciation of furniture and equipment (at 01.01.2016) Factory 8,400.00 Office 9,600.00 Additional information! 1. Closing stock as at 31.12.2016 6,325.00 Raw Materials Working progress (Factory cost) Finished goods Transfer value) 6,105.00 15,225.00 2. Prepayments as at 31.12.2016 Rates 450.00 220.00 Insurance 3. Accruals as at 31.12.2016 were as follows: Direct Wages 1,220.00 70.00 Telephone Light, heat and power 210.00 4. At 31.12.2016 depreciation is to be provided as follows: Plant and machinery 20% Furniture and Equipment 10% 5. Expenses are to be apportioned to the factory as follows: Rates 4/5 Insurance 3/4 Telephone 2/3 Light, heat and power 3/4

a) Establish the Manufacturing Account for the year ended 31.12.2016

b) Construct an income statemen