The following balances have been extracted from the books of Mandrake Ltd at 31 December 2019. 000 000 Sales revenue 979 Purchases 421 2% Debentures (redeemable in 2024) 100 Trade receivables 72 Trade payables 64 Bank balance 21 Ordinary dividends paid 18 Accruals 6 Freehold land at cost 202 Freehold buildings at cost 550 Plant and machinery at cost 180 Accumulated depreciation at 1 January 2019: Freehold buildings 96 Plant and machinery 60 Inventories at 1 January 2019 42 Irrecoverable debts expense 18 Allowance against receivables as at 1 January 2019 6 Administration expenses 312 Distribution expenses 64 Carriage outwards 5 Loan interest 2 Ordinary share capital (1 shares) 450 Share premium account 53 Retained earnings at 1 January 2019 51 Totals 1,886 1,886. The following information has not yet been taken into account in the balances above: (i) Inventories at 31 December 2019 were valued at 52,000. (ii) Depreciation is to be provided as follows: Buildings at 4% per annum on cost adopting the straight-line method. Plant and machinery at 15% per annum adopting the reducing balance method. All non-current assets are assumed to have zero residual values. There were no additions to or disposals of non-current assets during the year ended 31 December 2019. (iii) Total depreciation is to be allocated as follows: 70% to administration expenses 30% to distribution expenses (iii) Distribution expenses of 5,000 have been prepaid. (iv) A bad debt of 2,100 has been identified. The allowance against receivables is to be decreased to 4,000. The company presents irrecoverable debts as other operating expenses on the face of the statement of profit or loss. (v) Corporation tax based on the years profit is estimated to be 19,000. The tax will be paid during 2020. The audit fee of 7,000 for the year ended 31 December 2019 has not yet been paid. Further information to note: The company declared and paid a dividend of 4p per share on 31 October 2019. Required: Prepare Mandrake Ltds Statement of Profit or Loss for the year to 31 December 2019, and Statement of Financial Position as at that date.