Yamaha Plc prepares its financial statements to 31^st December each year. As at 31^st December 2022, its trial balance was as follows:

DebitCredit 000000Administration expenses250 Ordinary shares of 1 each, fully paid 800Trade and other receivables520 Cash and cash equivalents375 Share premium 85Distribution expenses325 Property650 Plant and machinery550 Depreciation on plant and machinery at 1 January 2022 275Retained earnings at 1 January 2022 410Purchases880 Bank loan (5%) 200Inventory at 1 January 2022180 Trade and other payables 270Revenue 1,760Dividends paid70 3,8003,800

Further information:

1. Inventory as at 31 December 2022 at cost 250,000
2. The tax charge based on the profits for the year is 75,000.
3. The bank loan interest has not been paid during the year.
4. The property is to be revalued at 700,000.
5. Depreciation of plant and machinery is to be provided for the year at 10% on a straight-line basis.
6. Administration expenses prepaid is 35,000

Required to prepare:

1. The income statement for the year ending 31/12/2022 ,
2. The statement of changes in equity for the year ended 31/12/2022 and
3. The balance sheet as at 31/12/2022

Answers: