You have applied for horticultural position at Paradice Herbs Shop in. This company is a small retail store that sells herbs and spices. It is an exciting time because the store opened in the current month, August 2023. Your duties are not limited to packaging and selling herbs and spices at Paradice Herbs Shop, part of your responsibility will be doing the accounting for the business. The owner, Mr Dalimvula, heard that you also studied financial accounting in horticulture and could really use the help, because he spends most of his time developing new spice flavors. Moreover, the former employee has done a nice job of keeping track of the accounting records, so you

Paradice Herbs Shop trial balance for the ended June 30, 2023 Debit Credit Topping season R 17 300 Cash R 6 200 Equipment R 12 500 Employee wages and benefits R 10 700 Lease payment R 24 000 Utilities R 3 200 Advertising R 900 Miscellaneous R 300 Herbs R 22 800 Accounts payables R 650 Wages payable R 1 200 Investments by owner R 12 500 Drawings by owner R1 450 Revenue R 85 000 Question 1: 1.1 Prepare income statement using above information. (15 marks) 1.2 Prepare the balance sheet using the above information and comment on the total assets and total liabilities.