From the following selected balances of Royal Oak plc as at 31 March 2018 draw up (i) a detailed statement of profit or loss for internal use, and (ii) a statement of profit or loss for publication.

(a) Inventory at 31 March 2018 £408,000.
(b) Wages and salaries are to be apportioned: distribution costs 1/4 , administrative expenses 3/4.
(c) Rent and business rates are to be apportioned: distribution costs 60%, administrative expenses
40%.
(d) Apportion motor expenses in the proportions 2:3 between distribution costs and administrative expenses.
(e) Depreciate motor vehicles 25% and equipment 10% on cost.
(f) Accrue auditors’ remuneration of £44,000.
(g) Accrue corporation tax for the year on ordinary activity profits £1,456,000.
(h) A sum of £60,000 is to be transferred to general reserve.

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Retained profits as at 31 March 2017 Inventory 1 April 2017 Purchases Revenue Returns inwards Returns outwards Carriage inwards Wages and salaries (see Note (b)) Rent and business rates (see Note (c)) General distribution expenses General administrative expenses Discounts allowed Bad debts Loan-note interest Motor expenses (see Note (d)) Interest received on bank deposit Income from associates and joint ventures Motor vehicles at cost: Administrative Distribution Equipment at cost: Administrative Distribution Royalties receivable Dividends paid £000s 408 336 5,848 9,824 432 148 56 544 60 112 96 144 20 48 54 24 12 216 368 60 40 20 420