The following trial balance has been extracted from the ledger of Hensen, a sole trader as at 31 December 2016, end of his most recent financial year. Hensen Trial Balance as at 31 December 2016 Property (at cost) Equipment (at cost) Provision for depreciation (as at 1 January 2016) Property Equipment Stock, as at 1 January 2016 Purchases Sales Discount allowed and received Wages and salaries Bad debts Loan interest Carriage outward Other operating expenses Trade receivable Trade payable Provision for doubtful debts Cash on hand Bank overdraft Drawings 13% Loan Capital, as at 1 January 2016 Additional information as at 31 December 2016 is available: Debit (RM) 150,000 87,500 Credit (RM) 15,000 35,000 15,000 359,600 485,000 3,370 4,420 52,360 1,720 1,560 8,310 38,800 46,200 33,600 280 250 14,500 28,930 12,000 193,800 793,600 793,600 a. Stock as at 31 December 2016 was valued at RM36,000 b. Depreciation for the year ending 31 December 2016 has yet to be provided as follows: Property - 1% using straight line method Equipment -15% using reducing balance method c. Wages and salaries are accrued by RM250 d. Other operating expenses include certain expenses prepaid by RM600 and accrued by RM400 e. Provision for bad debts is to be adjusted to 0.5% (0.005) of trade receivable as at 31 December 2016. f. Purchase includes goods valued at RM3,200 which were withdrawn by Mr Hensen for his personal use. g. A provision is to be made for loan interest Required Prepare the Income Statement for the year ending 31 December 2016 and a Statement of Financial Position as at that date