Question One You are a financial consultancy and you have tasked to handle the following issues a) T.K. Furnishers Ltd sublets part of the buildings at an annual rent of K1200 (K100 per month). During the year ended 31 December 20X8, T.K. discovers that the tenant had only paid K1 000 Required Show rent receivable account and statement to be shown in income statement and interpret the balance brought down. 3 marks b) A business has a fixed rate for electricity of K74 per month. It is the business tendancy that when their liquidity position is favourable they pay in advance for certain services including for electricity. For the year ended 31.12.20X8 the business had paid for electricity total of K1 036 to cover a period of 14 months to 28 February 20X9. Required Show the electricity account, stating the amount to be included in income statement and interpret the balance b/d. 3 marks c) During the year ended 31 December 20X5, the following information was made available for rent and rates. At 1 January 20X5, there was K250 rates which had been paid in advance in 20X4, and K500 rent was owing on the same date. The following payments were made during 20X5, rent K4 000 and rates K3 600. On 31 December 20X5, rent of K200 is owing and rates of K150 are paid in advance. Required: Prepare the rent and rates account (combined and appropriately bring down the balance). 9 marks Total (15 Marks)