The following is the adjusted Trial Balance for Kameme Wholesalers as at December 31, 2019.

Kameme Wholesalers

Adjusted Trial Balance as at December 31, 2019

No. Account Title Debit Shs "000" Credit Shs "000" 101 Cash 14,500 106 Accounts Receivable 11,100 119 Merchandise Inventory 29,000 124 Prepaid Insurance 2,500 125 Stores Equipment 95,000 128 Acc. Depreciation Stores Equipment 18,000 201 Accounts Payable 10,600 251 Long term notes Payable 25,000 301 A. Kameme , Capital 81,000 302 A. Kameme , Withdrawals 12,000 409 Interest Revenue 2,500 413 Sales 536,800 414 Sales Returns and allowances 6,700 415 Sales Discounts 5,000 505 Cost of goods sold 363,400 613 Depreciation expense - Stores equipment 9,000 620 Salaries Expense 56,000 621 Freight out 7,600 633 Interest Expense 3,600 637 Insurance Expense 4,500 641 Rent Expense 24,000 650 Utilities Expense 18,000 655 Advertising Expense 12,000 TOTALS 673,900 673,900

Required

1). Prepare the necessary closing entries at December 31, 2019

2). Prepare a multi - step income statement for the year ended Dec. 2019

3). Prepare a classified balance sheet as at Dec. 31, 2019

4). Distinguish accrual basis accounting from cash basis accounting