The following balances were obtained from the books of The Park Plaza plc for the year ending December 31, 2015 DETAILS Goodwill 5% Mortgage Mortgage Interest Ordinary Share Capital @ $0.25 5% Preference Share Capital @ $0.50 Share Premium Sales Turnover Debtors Bank Fixtures and Fittings Provision for Depreciation on Fixtures and Fittings Cash Rent Received Commission Received Telephone Charges Management Fees Wages and Salaries Insurance Premises Motor Vehicle Provision for Depreciation on Motor Vehicle Creditors Interim Ordinary Shares Dividend Interim Preference Shares Dividends Cost of Sales Closing Stock 10% Debenture Debenture Interest General Reserves Retained Earnings DR 240,000 12,000 91,000 550,000 60,000 40,000 80,000 160,000 30,000 840,000 540,000 6,500 5,000 915,000 210,600 20,000 3800100 CR 400,000 400,000 400,000 50,000 1,600,000 59,100 85,000 55,000 30,000 86,000 55,000 450,000 80,000 50,000 3800100 End Notes a. Insurance is prepaid by 5,000. The wages is owing by 25,000 b. The goodwill should be written down by 40% c. Provide for depreciation on motor vehicle at 5% on the straight line; fixtures and fittings at 10% on the reducing balance d. The following items of expense should be apportioned Insurance Wages & Salaries Management Fees Telephone Directors Fees Depreciation Charges Admin Required Prepare the following i. ii. iii. 50% 45% 60% 40% 30& 60% e. Transfer $45,000 from profits to the general reserves f. Corporation tax is estimated at $36,000 g. Prior to the end of the year the directors approved the following 1. final ordinary shares dividends of $0.20c per share 2. the remainder of the preference share dividends. 3. New issue of 100,000 ordinary shares for $40,000 Statement of Profit and Loss, Statement of Change in Owners' Equity Statement of Financial Position for the year. Show appropriate workings and disclosures Sell & Dist. 50% 55% 40% 60% 70% 40%