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The following trial balance was extracted from the accounting records of Kizima Limited as at 31st December 2019.
| | (Kshs) | (Kshs) |
| Ordinary Share Capital (@Kshs. 20) | | 2,500,000 |
| Inventory | 250,000 | |
| Plant and Machinery (Cost) | 2,500,000 | |
| Motor Vehicle (Cost) | 800,000 | |
| Provision for Depreciation of Plant and Machinery | | 200,000 |
| Provision for Depreciation of Motor Vehicle | | 160,000 |
| Purchases | 3,600,000 | |
| Sales | | 6,000,000 |
| Sales Return | 400,000 | |
| Purchases Returns | | 200,000 |
| Wages and Salaries | 600,000 | |
| Discounts | 50,000 | 40,000 |
| Carriage inwards | 25,000 | |
| Postage and Telephone | 75,000 | |
| Carriage and Outward | 30,000 | |
| Water and Electricity | 86,000 | |
| Bad Debts written off | 15,000 | |
| Allowances for Bad Debt | | 10,000 |
| General Expenses | 85,000 | |
| Rent and Rates | 150,000 | |
| Debtors | 550,000 | |
| Creditors | | 466,000 |
| Cash in hand | 60,000 | |
| Cash at Bank | 300,000 | |
| | 9,576,000 | 9,576,000 |
You are given the following additional information about Kizima limited:
- Closing stock on 31st December 2018 was valued at Kshs. 225,000
- Depreciation is to be charged at 10% of cost of plant and machinery and 20% of cost of motor vehicles
- Accrued rent of Kshs. 30,000 and prepaid rates Kshs. 10,000
- Outstanding electricity expenses is Kshs. 6,000
- Provision for bad debts is to be increased by Kshs. 3,000
- The companys share is currently trading at Market price per share of Kshs. 32
REQUIRED:
- Compile the statement of financial performance and statements of financial position for this company
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