REQUIRED

Use the information provided below to prepare the Statement of Changes in Equity of Sunray Traders for the

year ended $28$ February $2023.$

INFORMATION

EXTRACT FROM THE LEDGER OF SUNRAY TRADERS AS AT $28$ FEBRUARY $2023$

Debit Credit

R R

Capital: Sunny $600000$

Capital: Raymond $400000$

Current a$/$c: Sunny $(01$ March $2022)100000$

Current a$/$c: Raymond $(01$ March $2022)60000$

Drawings: Sunny $500000$

Drawings: Raymond $700000$

The following must be considered:

$($a$)$ On $28$ February $2023$ the Statement of Comprehensive Income reflected a net profit of R$1400000.$

$($b$)$ The partners are entitled to interest at $15\%$ p$.$a$.$ on their capital balances. Note: Raymond decreased

his capital contribution by R$200000$ on $31$ August $2022$ whilst Sunny increased his capital balance by

the same amount on $01$ December $2022.$ These capital changes have been recorded.

$($c$)$ The partners are entitled to the following monthly salaries:

Sunny R$25000$

Raymond R$20000$

$($d$)$ Raymond is entitled to a bonus equal to $10\%$ of his annual salary.

$($e$)$ The remaining profit$/$shortfall must be shared between Sunny and Raymond in the ratio of the capital

balances as at the beginning of the financial year.