Clearwater Enterprise is a merchandising company which has business operations in Ipoh, Perak. The following trial balance has been extracted from the books as at 31 December 2020. Clearwater Enterprise Trial Balance as at 31 December 2020 Debit RM 30,000 Credit RM 10,000 250,000 120,000 24,000 40,000 22.500 61,400 58,600 12.400 40,000 Descriptions Machinery Accumulated depreciation - machinery Land Building Accumulated depreciation - building Loan from Ah Ling - 10 years Bank overdraft Accounts receivable Inventories Accounts payable Drawings Capital Carriage outwards Sales Discount allowed Purchases Carriage inwards Salaries Supplies Bad debts Prepaid insurance Interest expense General expenses Cash 200,000 20,000 1.921,000 22,500 1,100,000 5,800 280,000 80,000 8,400 96,000 17,200 37,000 3,000 2,229,900 2,229,900 Other information: 1) Closing inventories as at 31 December 2020 was estimated to be worth RM25,000. 2) Account on supplies on 31 December 2020 revealed RM30,000 worth still on hand. 3) The prepaid insurance is for a 12-month policy purchased on 1 March 2020 by cash. The policy is effective from 1 March 2020. 4) The portion of interest on loan from Ah Ling that has not been accrued for the current year amounted to RM4,000 5) Annual depreciation for the non-current assets as follow:- Machinery 10% - Reducing balance method Building 20% - Straight line method 6) During the year, the proprietor has taken goods costing RM3,000 and cash of RM1,000 from the business for his personal consumption. These has not been reflected in the books. 7) It has been agreed that further debts amounting to RM1,500 are to be written off against specific customers, and the closing provision for doubtful debts is to be adjusted to 5% of the revised account receivables figure. Required: a) Prepare Clearwater Enterprise's Statement of Profit and Loss (post adjustments) for the year ended 31 December 2020. (20 marks) b) Prepare Clearwater Enterprise's Statement of Financial Position (post adjustments) as at 31 December 2020. (20 marks)