QUESTION 1(20 Marks)The trial balance and additional information given below were extracted from the accounting records of Dysan Limited on 29 February 2020, the end of the financial year.REQUIREDPrepare the Statementof Financial Positionas at 29 February 2020. The notes to the financial statements are not required.Show workings in brackets.INFORMATIONDYSAN LIMITEDPRE-ADJUSTMENT TRIAL BALANCE AS AT 29 FEBRUARY 2020Debit (R)Credit (R)Balance sheet accounts sectionOrdinary share capital (100000 shares)200 000Retained earnings62 000Vehiclesat cost180 000Equipment at cost120 000Accumulated depreciation on vehicles90 000Accumulated depreciation on equipment38 000Trading inventory70 000Debtors control32 000Provision for bad debts4 000Bank182 000Cash float2 000Creditors control40 000South African Revenue Services: Company tax10 000Long-term loan: Aries Bank (16% p.a.)80 000Nominal accounts sectionSales485 000Cost of sales240 000Sales returns5 000Salaries and wages84 000Bad debts5 000Consumable stores2 000Rent expense28 000Motor expenses15 000Bad debts recovered2 000Telephone7 000Electricity and water11 000Bank charges3 000Insurance4 000Interest on mortgage loan6 000Commission income5 0001 006 0001 006 000Answer ALL questions below [100 MARKS]vmcAdjustments and additional information1.According to physical stocktaking done on 29 February 2020, trading inventory on hand amounted to R68000.2.Consumable stores unused according to stocktaking amounted to R200 on 29 February 2020.3.No entry has been made for a commission of 10% earned but not received on 500 items that were sold for R60 each.4.Received a cheque for R600 from an insolvent debtor, J. Marsh, who was only able to pay 30% of her debt. The balance of her account must now be written off. No entries were made for these transactions.5.The provision for bad debts must be decreased to R1500.6.The telephone account for February 2020was due to bepaidon 02 March 2020, R700.7.The rental agreements signed with the lessor (landlord) are as follows:R30000 for the period 01 January 2019to 31 December 2019, andR36000 for the period 01 January 2020to 31 December 2020.Make the necessary adjustment.8.The loan from Aries Bank was obtained on 01 September 2019. Provide for the outstanding interest. (Interest is not capitalised.) Loan repayments (excluding interest) are expected to amount to R12000 in the next financial year.9.The insurance total includes an annual premium of R1800 that was paid for the period 01 June 2019to 31 May 2020.10.The bank statement for February 2020reflected bank charges of R180 that have not yet been recorded.11.The electricity and water statement for February 2020included an amount of R1000 for a deposit required by the municipality. This was recorded in the water and electricity account.12.Provide for depreciation as follows:12.1On equipment at 15% per annum on cost.12.2On vehicles at 25% per annum on the diminishing balance.13.An account received from Heidi Motors to replace two tyres on the delivery vehicle of the business, R2 000, has not been recorded.14.Company tax for the financial year amountedto R11691.15.The directors proposed a final dividend of 18 cents per share.16.The profit after tax for the year ended 29 February 2020, aftertaking the above adjustments into account, was R27279