Financial Statements of a Sole Trader

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**The following applies to questions 7–13.** Amani General Store — Trial balance as at 31 December (KES): | Account | Debit | Credit | |---|---|---| | Capital, 1 January | | 130,000 | | Drawings | 36,000 | | | Purchases | 420,000 | | | Sales | | 680,000 | | Opening inventory, 1 January | 35,000 | | | Rent and rates | 48,000 | | | Wages | 90,000 | | | Furniture, at cost | 150,000 | | | Accumulated depreciation — furniture | | 30,000 | | Trade receivables | 58,000 | | | Trade payables | | 47,000 | | Bank | 42,000 | | | Cash | 8,000 | | | Total | 887,000 | 887,000 | Additional information: Closing inventory KES 40,000. Depreciate furniture at 10% per annum on cost.