Prepare Jagga’s Statement of Profit & Loss for the year ended 31 December 2020

The following Trial Balance has been extracted from the accounting records of Jagga, a private company, at 31 December 2020: Debit RM’000 Credit RM’000 Administrative Expenses 2500 Bank overdraft 250 10% Debentures 600 Distribution Costs 1200 Dividends Received 130 Long term Investment 730 Furniture & Fittings Cost 100 Acc. Depreciation 40 Interim Ordinary Dividend 80 Ordinary Share Capital 900 Plant & Equipment Cost 7600 Acc. Depreciation 5000 10% Preferred share capital 200 Preferred Dividend 20 Retained Earnings at 1 January 2320 Provisions for doubtful debts 160 Purchases 7250 Sales 13260 Share Premium 400 Inventory 2170 Trade Payables 990 Trade Receivables 2600 24250 24250 The following additional information is provided: 1. The inventory at 31 December 2020 was valued at RM 2,500,000. 2. Depreciation is to be charged as follows: Furniture & Fittings (all relating to the administration): 10% on cost. Plant & Equipment (all relating to cost of sales): 50% on the reducing balance basis. 3. The provision for doubtful debts is to be maintained at 8% of trade receivables. 4. Prepayment and accruals at 31 December 2020 were: Prepayments (RM) Accruals (RM) Administrative Expenses 120,000 10,000 Distribution Costs 80,000 30,000 5. Interest on debentures for the year has not yet been paid. 6. The directors propose to pay final dividend of RM 0.20 per ordinary share. 7. The company’s authorised share capitals is made up of 1,000,000 ordinary shares of RM 1 each and 250,000, 10% preferred shares of RM 1 each. Required: Prepare Jagga’s Statement of Profit & Loss for the year ended 31 December 2020 and Statement of Financial Position as at 31 December 2020.