Question 2 Bright and Sons Lid prepares its financial statements to 31 December every year. At 31 December 2019, the company's trial balance was as follows DR GH000 GH000 50,000 Sales Purchases Inventory 1/1/2019 Printing and Stationery Rent and Rates Travelling and Transport Repairs and Maintenance Other administrative expense 42.201 1.200 1.692 4 1.500 13.500 45.000 24.500 19,600 12.450 4.980 Land cost Building at cost Ace. Depreciation Building Motor Vehicle at cost Acc. Depreciation Motor Vehicle Equipment and Furniture Ace. Depreciation Equipment & Furniture Trade Receivables Cash and Bank balance Trade Payables Short term loan Share Capital Retained Earnings 9.450 9.534 18,450 12.500 15.000 35.520 162.00 1627500 The following additional information is relevant 1) Depreciation is to be provided as follows: Building 3% per year on cost Motor Vehicle 20% per year on cost Equipment & Furniture - 10% per year on cost ii) It is the policy of the company not to charge depreciation in the year of disposal. iii) Land was revalued later in the year for GH15,000,000. No change was required to the value of the building, iv) Inventory value at 31 December 2019 amounted to GHC1,840,000 v) Rent recorded in the trial balance represents 15months rent paid to 31 March 2020 vi) A provision of 10% of trade receivable is to be made vii) During the year Motor Vehicle costing GHe 1.200,000 was disposed off. The vehicle had been in existence for 3 years. Proceeds from the sale of the vehicle was GH500,000. This has not been accounted for in the books of Bright and Sons. viii) Bright and Sons Ltd contracted a loan of GH20,000,000 from GCB Led in January 2017 at an annual interest of 26%. Unfortunately, the accountant has omitted this loan transaction from the books since December 2017. Required: Prepare the Statement of comprehensive income for Bright and Sons Lid for the year ended 31 December 2019 and the Statement of financial position as at 31 December 2019 in compliance with the provisions of International Financial Reporting Standards (IFRS) (20 marks)