Terang Hati Berhad, a limited company, closes its accounts on December 31 every year. The company reported the following unadjusted trial balance on December 31, 2017: Debit RM Credit RM Land 1,800,000 Plant and machinery (cost) 826,000 Accumulated depreciation of plant and machinery 251,000 Inventory 185,000 Accounts receivable 192,000 Cash 536,000 6% Bank Loan 100,000 Accounts payable 155,000 Share capital 2,600,000 Retained earnings (at 1/1/2017) 119,000 Dividends 32,000 Sales revenue (net) 873,000 Cost of sales 326,000 Administrative expenses 135,000 Selling and distribution expenses 98,000 Rental income 32,000 4,130,000 4,130,000 The following transactions occurred during the year but have not been recorded:

a. The land is to be revalued to RM2,000,000.

b. At year-end, administrative expense amounted to RM3,000 is still outstanding (unpaid).

c. No interest was paid on the bank loan in the current year. The loan was taken on November 1, 2017 and will mature on October 31, 2019.

d. RM14,000 of rental income has been earned but has not been received and therefore have not been recorded.

e. It is the companys policy to provide annual depreciation of the plant and machinery at 25% on cost.

Required:

Prepare a statement of profit or loss, and statement of changes in equity for the year ended December 31, 2017 and a statement of financial position as at December 31, 2017.