Question 1: The following balances were taken from Mazoon Company 31.12.2019

[3.5 Marks]

Account's name	R.O
Sales	15 000
Sales Returns	1 500
Purchases Returns	2 000
Opening Stock	3 000
Rent Revenues	1 000
Interest Expenses	1 200
Salaries	1 800
Electricity Expenses	400
Phone Expenses	600
Depreciation Expenses	1 000
Interest Revenues	1 500
Cash	10 000
Creditors = Accounts Payable	3 000
Buildings	7 000
Cars	8 000
Overdraft	2 500
Debtors = Accounts receivable	1 000
Bank	20 000
Furniture	6 000
Land	3 500
Loans	6 500
Marketable Securities	4 500
Machines	3 500
Purchases	8 000
Capital	??

Closing Stock was 3 500 as on 31/12/2019

You are required to:

1. Organize Trial balance and find out capital.

2. Prepare Trading account profit and loss account.

3. Income Statement.

4. Prepare Balance sheet.