Extracts from the accounts of West Ltd

      The following are extracts from the accounts of West Ltd for the year ended 31st March 2022: £ Salaries 64,500 Utility bills 25,000 General expenses 55,000 Trade Payables 57,000 Trade receivables 16,500 Closing inventory 50,000 Marketing costs 26,300 Furniture & Fittings 75,000 Purchases of inventory 245,773 Purchase of Property 1,500,000 Revenue 1,091,569 The mistakes below have been identified by the Chief Financial Officer: a. General expenses of £50,500 have been included in the revenue by mistake. b. Interest paid on a loan was £35,000. c. Depreciation of £70,000 was not charged. d. The closing inventory includes an amount of £10,000 that was actually sold to a customer. The figure for sales is not affected. e. Cash sales of £164,000 were omitted by mistake from the revenue figure. f. Corporate Tax of 19% should have been charged. Additional information: The opening inventory was £150,000. Corporate Tax is 19%. Calculate the Income Statement and explain why Profits are important for a company. (25 Marks)