Q1.

The trial balance of Beta PLC as at 30^th September 2020 was as follows:

Dr Cr

K K

Revenue 380,000

Material purchases 64,000

Production labour 124,000

Factory overheads 80,000

Distribution cost 14,200

Administrative cost 46,000

Finance costs 350

Investment income 800

Leasehold property at cost 50,000

Plant and equipment at cost 44,500

-Accumulated depreciation 10,000

-Plant and equipment 14,500

Investment cost 18,000

Inventory 46,700

Trade receivables 33,550

Trade payables 27,000

Bank 2,300

Ordinary share capital 50,000

Retained profits 33,600

Deferred Tax 2,700

521,700 521,700

Notes:

1. Inventory of finished goods on promises of Beta PLC at 30 Sept 2020 was counted and valued at k54,800.
2. All plant and equipment is depreciated at 20% per annum using the reducing balance method with time apportionment in the year of purchase.

The directors decided to revalue the leased property in line with recent increases in markets values. On 1^st October 2019 an independent surveyor valued the leased property at k48,000, which the directors have accepted. The leased property was being amortised over an original life of 20 years which has not changed. Beta PLC does not make a transfer to retained earnings in respect of excess amortization.

3. Provide for corporate tax for the year for k24300
4. Included in production labour is the cost of k10,000 pertaining to the construction of plant and equipment.

Required :

1. Prepare a statement of profit or loss and other comprehensive income for the year ending 30^th September 2020 in accordance with the companies Act and international accounting standards.
2. Prepare a statement of financial position as at 30^th September 2020 in accordance with companies Act and international accounting standards .