QUESTION 1 [40 MARKS] On 1st July 2017, Daniel commenced in self-employment running a small printing business. You are presented with the accounts of Mr Daniel for the year ended 30 June 2018, as set out below: Turnover Cost of sales Gross Profit Other income: Dividends from Air Mauritius Ltd Profit on sale of premises Expenses Wages and salaries Rs Rs 7,523,000 (2,356,700) 5,166,300 742,000 90,000 923,750 Other Staff Costs Commissions and discounts 142,875 235,480 Entertainment, gifts and donations 458,960 Security and cleaning services 123,653 Stationery and Consumables 56,000 Information systems and computer expenses 89,000 Bank charges 5,600 Insurance 5,498 Electricity, water and telephone charges 17,369 Advertising & promotional expenses 69,865 Overseas Travelling Expenses 654,947 Legal and professional fees 489,635 Rent 984,000 Licence 14,000 Motor vehicle expenses 456,900 Depreciation 128,000 Interest 137,890 Repairs and maintenance 789,000 Bad debts 208,000 Other expenses 986,756 6,977,178 Net Loss (978,878)