REQUIRED: STATEMENT OF COMPREHENSIVE INCOME INFORMATION PG STORES PRE-ADJUSTMENT TRIAL BALANCE AS AT 28 FEBRUARY 2019 Debit (R) Credit (R) Balance sheet accounts section Capital 870 700 Drawings 234 000 Land and buildings 608 700 Vehicles at cost 275 000 Equipment at cost 203 000 Accumulated depreciation on vehicles 94 000 Accumulated depreciation on equipment 70 000 Trading inventory 140 000 Debtors control 103 000 Provision for bad debts 5 000 Bank 4 000 Cash float 1 500 Petty cash 500 Creditors control 60 000 Loan: Tek Bank (12% p.a.) 96 000 Nominal accounts section Sales 1 277 000 Cost of sales 700 000 Sales returns 15 000 Wages 123 000 Bank charges 4 000 Rent income 66 000 Packing materials 37 000 Advertising 18 000 Rates 7 000 Bad debts 2 000 Discount allowed 1 000 Discount received 2 000 Stationery 20 000 Interest on loan 10 000 Water and electricity 9 000 Insurance 16 000 Telephone 9 000 2 540 700 2 540 700 ADJUSTMENTS AND ADDITIONAL INFORMATION 1. No entry was made for trading inventory that was taken by the proprietor for his personal use, R2 000. 2. Inventories on 28 February 2019 according to physical stocktaking were as follows: 2.1 Trading inventory R135 000 2.2 Stationery R2 000 3. The telephone account of R1 000 for February 2019 was erroneously paid twice, on 25 February 2019 and 27 February 2019. 4. Rent has been received up to 31 January 2019. 5. A debtor, P. Peter, was declared insolvent. On 28 February 2019, his insolvent estate paid a first and final dividend of 60 cents in the Rand. An amount of R1 800 was received and recorded. The balance of his account must now be written off. 6. The provision for bad debts must be increased by R1 000. 7. The insurance total includes an amount of R7 200 that was paid for the period 01 November 2018 to 31 October 2019. 8. Interest on loan for February 2019 has not yet been paid. Interest is not capitalised. Note: A repayment of R18 000 (excluding interest) is expected to be made in March 2019 to reduce the loan balance. 9. Depreciation must be brought into account each year as follows: 9.1 On vehicles at 20% per annum using the diminishing balance method. 9.2 On equipment at 15% per annum on cost. Note: Equipment with a cost price of R20 000 was purchased and recorded on 01 December 2018.