Question $3\mathrm{.}6$

The following is the inal balance of Eskimo Linited at $31$

Additional information:

Share capital constitutes $120000$ ordinary shares of no par value. $20000$ shares were issued for C$40000$ on the first day of the year.

Eskimo Limited classifies expenses according to their function. Management categorise the functions of the business into the areas of sales, administration and distribution.

Salaries of $C30000$ relate to the administrative function and $C20000$ to the distribution function.

Depreciation on buildings is allocated C$10000$ to the administrative function and C$15000$ to the distribution function.

The bad debts and marketing expenses relate to the administration function.

The repairs and maintenance and fuel expenses relate to the distribution function.

The company rents all of its equipment on short$-$term rentals; the rent expense is allocated equally to the administration and distribution functions.

Dividends of $C15000$ in respect of the year ended $31$ December $207$ were declared and paid during January $20$X$8.$ Dividends of C$20000$ in respect of the year ended $31$ December $20$X$8$ were declared on $15$ January $209.$

There are no movements in other comprehensive income

a$)$Prepare the statement of financial position of Eskimo Limited at $31$ December $20$x$8$ in accordance with the international financial reportung standards.

c$)$Prepare the "profit before tax" and "dividends" notes to the financial statements in accordance with Internationao financial reporting standards