William is a trader. His financial year ends on 31 March. The totals of his trial balance on 31 March 2017 did not agree. The difference was a shortage on the debit side of $685. This was entered in a suspense account. The following errors were later discovered The total of a page of the purchases account, $3842, had been carried forward as $3824 A cheque received from DEC Limited, $150, had been credited to the account of DDE Limited. 2 The balance of the petty cash book, $100, had been omitted from the trial balance. Repairs to a motor vehicle, $283, had been debited to the motor vehicles account 4 Purchase of fixtures, $2000, on credit from OS Supplies had been debited to OS Supplies and credited to fixtures account 5 The total of the discount allowed column in the cash book, $250, had been credited to the discount received account in the ledger. 7 The total of the analysis column for stationery in the petty cash book, $67, had not been transferred to the stationery account in the ledger. REQUIRED Prepare the suspense account. Start with the balance arising from the difference on the trial balance. (a) (6 marks) (b) Prepare the journal entries to correct the above errors and use a suitable narrative in each case. (14 marks) (c) Before the above errors were discovered, the draft profit was $12500. Calculate the corrected profit or loss