Question 3: Set out below are Statements of Financial Position at the end of October 2019 and 2020, and also, Statement of Income for the year ended 31 October 2019 and 2020 for Barcelona Ltd. Barcelona Ltd Statement of Financial Position 2020 2019 ASSETS ,000 ,000 Non-current assets Machinery 23,337 16,092 Investments 5,580 4,860 28,917 20,952 Current assets Inventory 4,050 3,240 Trade receivables 3,870 4,680 Cash 108 7.920 8,028 Total assets 36,837 28,980 EQUITY AND LIABILITIES Equity Share capital 9,000 9,000 Revaluation reserve 3,780 990 Other reserves 1,620 900 Retained earnings 6,714 3,780 21,114 14,670 Non-current liabilities Long-term loan 4,860 4,680 Other loans 5,400 5,400 Current liabilities Trade payables 4,200 2,970 Bank overdraft 93 0 Tax payable 1,170 1,260 5,463 Total equity and liabilities 36,837 28,980 4,230