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QUESTION 3 ( 2 0 Marks ) REQUIRED Prepare the Statement of Comprehensive Income of Omega Limited for the year ended 2 9 February 2

QUESTION 3(20 Marks)
REQUIRED
Prepare the Statement of Comprehensive Income of Omega Limited for the year ended 29 February
2024.
INFORMATION
The trial balance, adjustments and additional information given below were extracted from the
accounting records of Omega Limited on 29 February 2024, the end of the financial year.
OMEGA LIMITED
PRE-ADJUSTMENT TRIAL BALANCE AS AT 29 FEBRUARY 2024
Debit (R) Credit (R)
Balance sheet accounts section
Ordinary share capital 638000
Retained income 40000
Vehicles at cost 750000
Equipment at cost 440000
Accumulated depreciation on vehicles 150000
Accumulated depreciation on equipment 110000
Fixed deposit: Ben Bank (10% p.a.)60000
Trading inventory 38000
Debtors control 40000
Provision for bad debts 3000
Bank 24000
Petty cash 2000
Creditors control 50000
SARS Company tax 60000
Loan: Ben Bank (12% p.a.)100000
Nominal accounts section
Sales 1113000
Cost of sales 330000
Sales returns 20000
Salaries and wages 144000
Rent expense 66000
Motor expenses 40000
Directors fees 90000
Audit fees 28000
Telephone 18000
Electricity and water 24000
Bank charges 4000
Insurance 9000
Interest on loan 11000
Interest on fixed deposit 3000
Stationery 9000
22070002207000
Adjustments and additional information
1. Trading inventory according to stocktaking on 29 February 2024 amounted to R36000.
2. Stationery unused according to stocktaking amounted to R1000.
3. Interest on fixed deposit has been received until 31 August 2023. Provide for the outstanding
interest.
4. Provide for outstanding interest on loan for the last month of the financial year.
5. Included in the insurance total is an annual premium of R2400 that was paid for the period
01 June 2023 to 31 May 2024.
6. The water and electricity account for February 2024 was due to be paid on 02 March 2024,
R2000.
7. Rent has been paid for the period 01 March 2023 to 31 March 2024. Note: The rental
increased by R1000 per month with effect from 01 March 2024.
8. The bank statement for February 2024 reflected an amount of R500 for service fees and
cash deposit fees. No entry has been made for this.
9. No entry has been made for an account received from Sigma Motors for repairs to a vehicle,
R5000.
10. An insolvent debtor paid Omega Limited R2000 which represented 40% of the amount
owed. This has been recorded. The balance of his account must now be written off.
11. The provision for bad debts must be decreased to R2000.
12. Provide for depreciation as follows:
12.1 On vehicles at 20% per annum on the diminishing balance
12.2 On equipment at 10% per annum on cost.
13. An amount of R17583 was overpaid to SARS for company tax.

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