Selma Martin Current, a second-year Travel Tourism Hospitality student, operates a small hugest house in Katutura. He is doing well and is able to pay for his university fees from the cash generated from his business. His first financial year has just ended on 31 May 2021 and he has attempted to prepare a statement comprehensive income and statement of financial position which he wishes to discuss with you. You meet him at local coffee shop and he gives you the financial statements that he has prepared. Your conversation goes something like this: 1. You see that you have deducted the distributes to yourself or NS 8 500 an experie en the statement of profit or loss Selma: Yox As I work on my own, that is my salary. If and employed an assistant, his salary would have been shown as an expense. In addition. I am concerned that my profit for the might be high nough to tract income tax and therefore I want show the distribution as an expense on the statement of profiter loss o 2. You There is an income item of NS 12 000 on the statement of profit or less described as cash received for contract work. What is it all about Selma: 1 do work for Rugby Union, maintaining the lights at the stadium. They paid me NS 12.000 at the beginning of the season to look after the lights from March 2020 to 30 31 August 2030. This contract come just the right time and gave my profit for the period a nice boost 3. You Last time I was at your business, you showed mea computer that you had hegh for your business. I don't see the computer on the men of financial position Selma I bought the computer one of those installments sale or hire purchase agreements. On reading the small print I saw that ownership of the computer will not pass to me until the final installments in paid, which will be only next year some time 4. You see a relatively large item of NS 3 500 co the statement of profit or loss for electrical cables and globes. It looks like you rewired most of the rugby stadium Selma Oh no, not at all - I bought these cables and globes for NS 3 500 in August 2020 and I still have cables and globe costing NS 2000 at home You are required to Give your response to Selma answers to your queries in the above dialogue The dialogue has been numbered to assist you in your answers.