Exercise 2: From the following information prepare income statement of Modern Bank for the year ended 31 at December 2012 Loans and advances 7150000, current accounts 6600000, Interest on loans...

Extracted text: Exercise 2: From the following information prepare income statement of Modern Bank for the year ended 31 at December 2012 Loans and advances 7150000, current accounts 6600000, Interest on loans 225000, interest on cash credits 105000, interest on current accounts 50000, Discount on bills 201000, interest on overdrafts 95000, interest on saving banks 25000, interest on fixed deposits 155000, commission and exchange 44500, director fees 2500, printing 4500, salaries and allowances 72000, locker rent 2000, depreciation on banks property 10000, auditor fees 5000 Additional information: Rebate on bills discounted 30000, bad debts 31000, provision for taxation 72000 and loss on sale of investments 34000.