The trial balance of Mercury Bhd at 30 June 2019 was as follows: Dr Cr RM000 RM1000 7% Redeemable preferred shares 500 (RM1 per unit) Ordinary shares (RM0.50 per unit) 250 share premium 180 retained earnings (1/7/18) 70 Inventory (1/7/18) 450 Land at cost 300 Buildings at cost 900 Accumulated depreciation - 135 Buildings Plant at cost 1,020 Accumulated depreciation - Plant 370 Trade payables 900 Trade receivables 600 Allowance for doubtful debts- 25 1/7/18 Purchases 2,030 Administrative expense 205 Sales revenue 3,000 Distribution costs 240 Other expenses 50 Bank balance Ordinary dividend paid 10% loan notes 110 25 500 5930 5930 2. 3. You are provided with the following additional information: 1. Depreciation on buildings is to be provided at 5% per year on cost and allocated administrative expense. Plant is to be depreciated a 20% per year using the reducing balance method and included in distribution costs. Closing inventory is valued at RM500,000. 4. The allowance for doubtful debts is to be maintained at 5% of trade accounts receivable balances. 5. An accrual for distribution wages of RM30,000 is required. 6. Interest on the loan notes has not been paid during the year. During June, a bonus issue of two for five was made to ordinary shareholders. Share premium account is used for this purpose. However, this has not been entered. 8. Provisions are to be made for the following: The preferred dividend for the year An income tax charge of RM55,000 for the year. Required: Prepare for Mercury Bhd for the year ended 30 June 2019: (a) A statement of comprehensive income; (8 marks) 7. (b) A statement of changes in equity, and __7 marks) (c) A statement of financial position _(10 marks) [Total : 25 Marks)