QUESTION5 The following trial balance, adjustments and additional information were extracted from the accounting records of Usman Traders on 29 February 2016, the end of the financial year. REQUIRED Prepare the Statement of Comprehensive Income of Usman Traders for the year ended 29 February 2016. Use the following format FINANCIAL STATEMENTS (20 MARKS) Sales Cost of sales Gross profit Other operating income Gross operating income Operating expenses Operating profit Interest income Interest expense Net profit for the year Adjustments and additional information 1 On 29 February 2016, the proprietor took stationery for his own use, R500. No entry has been made for this transaction. 2. Physical stocktaking on 29 February 2016 revealed the following inventories on hand: Trading inventory Stationery R85 000 R1 500 3. A debtor, J. Smith, was dedlared insolvent His account of R2000 must be written off. 4. The provision for bad debts must be increased to R4 250. 5. The telephone account for February 2016 has not yet been paid, R2 000. 6. No entry was made for repairs made to a vehicle, R3 000. 7. No entries were made for the bank charges that appeared on the bank statement for February 2016, R500. The insurance account includes an annual premium of R1 200 that was paid for the period 01 September 2015 to 31 August 2016 8. 9. Part of the building has been leased to a tenant since 01 March 2015. The rent for March 2016 has already been received. 10. Provide for outstanding interest on loan, R2750. 11. The investment in fixed deposit at IPL Bank was made on 01 March 2015. Provide for the interest due to Usman Traders 12. Provide for depreciation as follows: * On vehicles, at 20% per annum on the diminishing balance On equipment at 10% per annum on cost *