The trial balance of Alfa shows the following balances at 31 December 2021: Dr Cr $000 Ordinary share capital (500,000 shares) General reserve Investment property Retained earnings 1 January 2021 Inventory (raw materials) at 1 January 20211 Sales Purchases i Purchases returns: Sales returns: Carriage outwards Work-in-progress at 11 January 2021 Intangible assets Administrative wages Machine - cost Accumulated depreciation (machine) - 1 January 2021 Delivery vehicle hire Distribution expenses. Administrative expenses Directors' salaries Sales allowances Accounts payable Bank overdraft Accounts receivable Cash at bank Land (1) 120 (2) 20 349 4 9 35 342 28 124 35 22 34 92 381 1140 303 3038 1297 $000 1001 26 269 5 40 3 394 3 Additional information: Depreciation charges of tangible and intangible assets for the year should be calculated at 10% on cost at 1 January. 3038 A fire at the factory on 31 December 2021 damaged the machine, leaving it with a lower operating capacity. T accountant considers that Alpha will need to recognise an impairment loss in relation to this damage. An equivalent new machine would cost $70,000. The machine could be sold in its current condition for a gross amount of (3) (4) (5) (6) (8) (9) (10) $45,000. Dismantling costs would amount to $2,000. In its current condition, the machine could operate for three more years which gives it a value in use figure of $38,685. Inventories (raw materials) at 31 December 2021 were valued at $2,000, work-in- progress at 31 December 2021 was valued at $5,000 The income tax for the year is evaluated as $2,000 Alpha works as an agent for a number of smaller contractors, earning commission of 10%. Alpha's revenue includes $6,000 received from clients under these agreements with $5,400 in cost of sales representing the amount paid to the contractors. Receivables totalling $14,000 are to be written off Intangible assets are to be amortized at 10% on cost Allowance for receivables should be created as 0,1% of net sales On 7 November 2021 there was a fire in the warehouse, in which inventory valued at $12,000 was destroyed. Under the terms of the insurance contract, the insurance company has stated that it will only pay out the first $3,000 of the claim. No entries have yet been made to record this. Alpha's directors made the following decisions during the year ended 31 December 2021: It disposed of all of its outlets in country A. A decision was also made to close down a regional office, which was communicated to the employees before the year-end. 50 employees would be retrained and kept within Alpha at a cost of $10,000, the others took redundancy and will be paid $30,000. Required: Prepare a) a statement of profit or loss and other comprehensive income for the year ended 31 December 2021, b) a statement of changes in equity for the year ended 31 December 2021, c) a statement of financial position at that date, d) notes, in accordance with IAS 1 "Presentation of Financial Statements". Your answer should be as complete and informative as possible within the limits of the information given to you. An accounting policy note is also required.