QUESTION 3 REQUIRED Use the information given below to prepare the Statement of Comprehensive Income of Micron Limited for the year ended 28 February 2022. INFORMATION The following information was provided by Micron Limited for the financial year ended 28 February 2022: MICRON LIMITED PRE-ADJUSTMENT TRIAL BALANCE AS AT 28 FEBRUARY 2022 Balance sheet accounts section Ordinary share capital Retained earnings Land and buildings at cost Equipment at cost Vehicles at cost Accumulated depreciation on equipment Accumulated depreciation on vehicles Trading inventory Debtors control Provision for bad debts Bank overdraft Creditors control Loan: Hip Bank (18 % p.a.) South African Revenue Services: Company tax Nominal accounts section Sales Cost of sales Sales returns Advertising Stationery Bad debts Discount allowed Discount received Electricity and water Telephone Interest on overdraft Directors fees Audit fees Insurance Salaries Bank charges Rent income Municipal rates Debit (R) 5. 6. 4 800 000 2130 000 1750 000 450 000 500 000 428 000 4 050 000 240 000 200 000 30 000 10 000 30 000 170 000 100 000 5000 440 000 60 000 70 000 2060 000 50 000 100 000 17 673 000 Credit (R) 4160 000 1217 000 880 000 440 000 30 000 146 000 650 000 500 000 9 360 000 30 000 260 000 17 673 000 Additional information and adjustments 1. According to physical stocktaking the following were on hand on 28 February 2022 1.1 Trading inventory R420 000 12 Stationery R10 000 2. The advertising total includes a payment of R12 000 for advertisements that were due to be published for the period 01 January 2022 to 30 June 2022 (R2 000 per month). 3. Part of the building has been let to a tenant since 01 March 2021. Rent amounts to R20 000 per month. Make the necessary adjustment 4. Write off the account of debtor, P. Peter, R3 000. The provision for bad debts must be decreased to R25 000. Directors' fees have been paid up to 31 January 2022. A third director was employed from 01 February 2022. The three directors earn the same remuneration. Provide for the fees still due 7. The loan from Hip Bank was obtained on 01 February 2022. Provide for the outstanding interest on loan. 8. A notice from the municipality indicated that the rates assessment for the year ended 28 February 2022 has been finalised and it amounted to R96 000 for the financial year. 9. Provide for depreciation as follows: 9.1 On vehicles at 20% per year using the diminishing balance method. 9.1 On equipment at 15% per year on cost 10. The company tax for the year ended 28 February 2022 is calculated at 28% of the profit before tax