The following list of account balances have been provided by Ngolide Plc on 31 December 2013, which is the end of the company's accounting period: K K 470,000 Share capital 413, 500 Retained earnings-1 January 2013 Land at cost 340, 500 Buildings at cost 200,000 Accumulated depreciation - buildings - 1 January 2013 5,000 Factory plant and equipment at cost 100, 000 78,500 Accumulated depreciation - Plant and equipment - 1 January 2013 Furniture and fittings at cost 120, 000 10, 750 Accumulated depreciation - furniture and fittings - 1 January 2013 Motor vehicles at cost 70,000 Accumulated depreciation - motor vehicles 20,000 10% loan notes 100, 000 Trade receivables/payables 162, 630 152, 500 Bank overdraft 6,250 Inventories at cost-1 January 2013 425,650 650, 600 Purchases raw materials Carriage - raw materials Manufacturing wages Manufacturing overheads 10, 500 250,000 Cash 125,000 5, 120 Sales 1,532, 500 Administrative expenses 108, 100 Selling and distribution expenses Legal and professional fees 166, 000 54,900 2,789,000 2,789,000 Additional information 1. Inventories at 31st December 2013 were: K Raw Materials 60, 600 Finished goods Work in progress 65, 350 40, 500 2. Depreciation for the year is to be charged as follows: Plant and equipment 12% on reducing balance-charged to production 10% on cost charged to administration Buildings Furniture and fittings Motor vehicles 8% on reducing balance charged to selling and distribution 30% on reducing balance charged to production 3. A transfer to general reserve of K 60, 000 is required as at 31st December 2013. 4. The buildings are to be revalued to K180, 000 as at 31st December 2013. 5. 33% of administration expenses in the trial balance relate to rental payment for one year to June 2014. 6. Goodwill has been impaired by K10, 000. 7. Provision is to be made for a full year's interest on loan notes and 40% tax on profit before tax. Required Prepare the complete set of financial statements for Ngolide Plc for the year to 31st December 2013. 40 Marks