Question 2 You are the accountant of Today Lid, a business that buys and sols equipment. The Inal balance at 31 December 2019 was as follows K 5000 66.900 Equity share capital (K1) Retained earings al 1 January 2019 Revenue Stall costs Inventory at 1 January 2019 Purchases Distribution costs Administrative expenses Loan interest Investment income Tax Receivables and payables Bank Motor vehicles -cost Buildings - cost Motor vehicles - accumulated depreciation 1 January 2019 Buildings - accumulated depreciation 1 January 2019 Debentures (2022) 5,400 3,930 38,760 3.130 3,790 200 250 2,360 200 9.290 3.125 5,000 12,000 1,000 2,400 1.000 84,825 84,825 Additional information: 1. Today Ltd has not made any additions or disposals of tangible non-current assets in the year. Its depreciation policy is as follows: Motor vehicles - 20% reducing balance Buildings - 25 years straight line The depreciation expense for the year is charged to cost of sales. 2. Inventory at the end of the year was valued as follows Cost (K) NRV (K) Bats 2.500 4,000 Gloves 650 500 Pads 1,000 2.000 Total 4,150 6,500 Staff costs are to be apportioned equally across cost of sales, distribution costs and administrative expense s pg administrative expense. 4 The balance of tax on the tax account represents the over/under provision for the prior year. An estimate of K1,500 has been made for the tax payable at the year-end, Required: Prepare a statement of profit or loss and other comprehensive income, statement of changes in equity and a statement of financial position for the year ended 31 December 2019