(R) ASSETS Non-current assets Property, plant and equipment Delivery van at cost Depreciation 12,000 (2,500) 9,500 Current assets Inventories Trade receivables Prepaid expenses Cash 65,000 19,600 5,300 750 90.650 100, 150 Total assets EQUITY AND LIABILITIES Equity Original Retained earings 50,000 26,900 76.900 Current liabilities Trade payables Accrued expensest 22,000 1,250 23,250 100.150 Total equity and liabilities - The prepaid expenses consisted of rates (R300) and rent (R5,000). The accrued expenses consisted of wages (R630) and electricity (R620). During 2016, the following transactions took place. 1. The owners withdrew equity in the form of cash of R20,000. 2. Premises continued to be rented at an annual rental of R20,000. During t year, rent of R15,000 was paid to the owner of the premises. 3. Rates on the premises were paid during the year as follows: for the period April 2016 to 31 March 2017, R1.300. 4. A second delivery van was bought on 1 January 2016 for R13,000. This expected to be used in the business for four years and then to be sold fo R3,000. 5. Wages totalling R36.700 were paid during the year. At the end of the year, the business owed R860 of wages for the last week of the year. 6. Electricity bills for the first three quarters of the year and R620 for the last quarter of the previous year were paid, totalling R1,820. After 31 December 2016, but before the financial statements had been finalised for the year, the bill for the last quarter arrived showing a charge of R690. 7. Inventories totalling R67.000 were bought on credit. 8. Inventories totalling R8,000 were bought for cash. 9. Sales revenue on credit totalled R 179.000 (cost R89.000). 10. Cash sales revenue totalled R54.000 (cost R25.000). 11. Receipts from trade receivables totalled R178.000. 12. Payments to trade payables totalled R71.000. 13. Van running expenses paid totalled R 16.200. (The business uses the straight-line method for depreciating non-current assets.) Required: Prepare a statement of financial position as at 31 December 2016 and an income statement for the year to that date (50)