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Choose the relevant figures from the trial balance and additional information to prepare the income statement for the year ended 31 March 2015. (Classify the expenses as Selling & Distribution, General & Administrative and Financial.) 18 marks
(b) Explain why an income statement would be prepared for Eli’s Emporium.
1 mark
(c) Explain why the expenses in the income statement would be classified.
1 mark
Total: 20 marks Question 2: Statement of changes in equity (a) Using relevant figures from the given scenario, prepare the Statement of changes in equity for the year ended 31 March 2015. 5 marks
(b) Explain to Eli the reason for preparing a statement of changes in equity.
1 mark
(c) Describe two possible differences in the content of this statement if Eli’s Emporium was registered as a company.



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