The trial balance of Lax Ltd at 30 June 2022 was as shown below. LAX LTD Trial Balance as at 30 June 2022 Debit Credit Share capital (ordinary shares issued at $2, fully paid) $200 000 General surplus 25 000 Retained earnings 73 400 Revaluation surplus 85 000 Mortgage loan (secured over land and buildings) 250 000 Bank overdraft (at call) 70 900 7% debentures 80 000 Interest payable 2 800 Accounts payable 69 500 Dividend payable 10 000 Employee benefits payable 34 200 GST payable 18 400 Allowance for doubtful debts 12 800 Accumulated depreciation plant and equipment 42 500 Accumulated impairment losses goodwill 10 000 Cash at bank $500 Accounts receivable 67 800 Inventory 87 700 Prepaid insurance 7 000 Plant and equipment 222 500 Land 220 000 Buildings 380 000 Goodwill 50 000 Government bonds (long-term) 35 000 Shares in Carncotton Ltd 20 000 Sales revenue 825 000 Cost of sales 450 000 General expenses 265 000 Loss on sale of plant 10 000 Interest received 2 500 Dividends received 3 500 $1 815 500 $1 815 500 Additional information 1. General expenses for the year include the following items. Depreciation - plant & equipment $17,200 Depreciation - buildings 15,000 Employee benefits 11,600 Bad debts 10,000 Interest expense 28,700 Inventory losses 6,200 Discount allowed 4,200 Council rates 16,120 Superannuation contributions 7,000 2. The company tax rate is 30%, to be applied to profit before tax. 3. The opening balance of the allowance for doubtful debts was $15 250. 4. All assets are carried at cost, except for land and buildings, which are carried at fair value. 5. During the year, 50 000 shares were issued at an issue price of $2 each, payable in full on application. 6. On 30 June 2022, the directors revalued land and buildings based on fair values. The carrying amounts of land and buildings before the revaluation were $195 000 and $350 000 respectively. 7. The mortgage loan is repayable in annual instalments of $50 000 starting on 1 March. 8. The debentures are to be redeemed on 31 March 2022. There is no plan to refinance these debentures in the future. 9. The employee benefits payable consist of the following. Annual leav $18,400 Lomg-service leave 15,800 10. No employee is eligible for long-service leave until 2023. 11. Goodwill is not considered to be impaired. 12. During the year, Lax Ltd sold an item of plant for $38 000. The carrying amount of the plant at the date of sale was $48 000. 13. During the year, an interim dividend of $20 000 was paid, and a final dividend of $10 000 was declared. $25 000 was also transferred to the general reserve. Required: This question has two parts - answer parts (a) and (b) below by entering your answers into the templates provided. (a) Prepare a Statement of Profit or Loss and Other Comprehensive Income for Lax Ltd for the year ended 30 June 2022, according to the requirements of IAS 1/AASB 101. (b) Prepare the Retained Earnings account for the year ended 30 June 2022. Please provide an answer with all relevant workings and correct format of the P&L and retained earnings accounts