QUESTION 3 (20 Marks) REQUIRED Prepare the Statement of Comprehensive Income of Omega Limited for the year ended 29 February 2024. INFORMATION The trial balance, adjustments and additional information given below were extracted from the accounting records of Omega Limited on 29 February 2024, the end of the financial year. OMEGA LIMITED PRE-ADJUSTMENT TRIAL BALANCE AS AT 29 FEBRUARY 2024 Debit (R) Credit (R) Balance sheet accounts section Ordinary share capital 638 000 Retained income 40 000 Vehicles at cost 750 000 Equipment at cost 440 000 Accumulated depreciation on vehicles 150 000 Accumulated depreciation on equipment 110 000 Fixed deposit: Ben Bank (10% p.a.) 60 000 Trading inventory 38 000 Debtors control 40 000 Provision for bad debts 3 000 Bank Petty cash 24 000 2000 Creditors control 50 000 SARS Company tax 60 000 Loan: Ben Bank (12% p.a.) 100 000 Nominal accounts section Sales Cost of sales Sales returns 1 113 000 330 000 20 000 Salaries and wages 144 000 Rent expense 66 000 Motor expenses 40 000 Directors' fees 90 000 Audit fees 28 000 Telephone 18 000 Electricity and water 24 000 Bank charges 4 000 Insurance 9 000 Interest on loan Interest on fixed deposit Stationery 11 000 3 000 9 000 2 207 000 2 207 000 Adjustments and additional information 1. 2. 3. Trading inventory according to stocktaking on 29 February 2024 amounted to R36 000. Stationery unused according to stocktaking amounted to R1 000. Interest on fixed deposit has been received until 31 August 2023. Provide for the outstanding interest. Provide for outstanding interest on loan for the last month of the financial year. 4. 5. Included in the insurance total is an annual premium of R2 400 that was paid for the period 01 June 2023 to 31 May 2024. 6. The water and electricity account for February 2024 was due to be paid on 02 March 2024, R2 000. 7. Rent has been paid for the period 01 March 2023 to 31 March 2024. Note: The rental increased by R1 000 per month with effect from 01 March 2024. 8. The bank statement for February 2024 reflected an amount of R500 for service fees and cash deposit fees. No entry has been made for this. 9. 10. 11. No entry has been made for an account received from Sigma Motors for repairs to a vehicle, R5 000. An insolvent debtor paid Omega Limited R2 000 which represented 40% of the amount owed. This has been recorded. The balance of his account must now be written off. The provision for bad debts must be decreased to R2 000. 12. Provide for depreciation as follows: 12.1 On vehicles at 20% per annum on the diminishing balance 12.2 On equipment at 10% per annum on cost. 13. An amount of R17 583 was overpaid to SARS for company tax. 7/12