The following trial balance has been extracted from the ledger of Mr Yousef, a sole trader. TRIAL BALANCE AS AT 31 MAY 20X6 Dr Cr $ $ 140,000 80,000 6,000 13,250 4,800 1,200 1,100 26,000 1,000 50 12,000 Sales Purchases Carriage Drawings Prepayment for insurance Postage and stationery Advertising Salaries and wages Irrecoverable debts Allowance for receivables Receivables Payables Cash on hand Cash at bank Inventory as at 1 June 20x5 Equipment at cost Accumulated depreciation Capital Rent expense Accruals Insurance expense Depreciation expense Bad debt expense 6,000 1,200 1,500 13,000 80,000 15,000 80,000 241,050 241,050 The following additional information as at 31 May 20x6 is available. 1 Rent is accrued by $1210. 2 Prepayment on Insurance is to be reduced to $500 3 $2,000 of carriage represents carriage inwards on purchases and the rest is carriage inward on equipment 4 Equipment has useful life of 16 years and no salvage value. Equipment has to be depreciated. 5 The allowance for receivables has been recalculated to $200. 6 Inventory at the close of business has been valued at $10,000 Required (a) Prepare a statement of profit or loss for the year ended 31 May 20X6 (b) Prepare a statement of financial position as at that date