Question 1 (20 Marks) Prepare the Statement of Financial Position of Scampi Traders as at 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-ADJUSTMENT TRIAL BALANCE AS AT 28 FEBRUARY 2022 Debit (R) Credit (R) Balance sheet accounts section 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 accounts section Sales 742 500 Cost of sales 360 000 Sales returns 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 3700 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