Financial statement presentation
Blackout Ltd, has prepared the following statement of financial position as at 30 June 2014:
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Blackout Ltd
Statement of financial position as at 30 June 2014
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$000
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Assets
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Cash and cash equivalents
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-12
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Trade and other receivables
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80
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Inventories
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20
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Deferred tax assets
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14
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Other assets
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9
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Investment property
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57
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Less: Investment property loan
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-17
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Property, plant and equipment and intangible assets
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397
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Total assets
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548
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Liabilities
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Trade and other payables
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55
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Allowance for inventory obsolescence
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2
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Accumulated depreciation - property, plant and equipment
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30
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Financial liabilities
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300
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Retained profits
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10
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Provisions
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24
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Ordinary share capital
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100
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Total liabilities
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536
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Net assets
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1,084
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Shareholders' equity
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Dividend payable
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5
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Reserves
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7
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Total shareholders' equity
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1,096
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Additional information:
- 'Cash and cash equivalents' consists of $2,000 cash on hand, and a bank overdraft of -$14,000.
- 'Trade and other receivables' consists of trade receivables and prepayments.
- 'Trade and other payables' consists of trade payables, interest payable, and the company's current tax liability.
Required:
List and explain the errors need to be corrected in the above statement of financial position, to ensure that it complies with the requirements of AASB 101.