Lynn Parker provides the following information:

Additional information at 31 October 20*8

■ Stock was valued at £3,199.
■ Lynn provides depreciation on all assets using the reducing balance method. The annual charges are: office equipment 20% (round up); delivery vehicles 40%.

Required

a) Prepare a trading and profit and loss account for the year ended 31 October 20*8.
b) Prepare a balance sheet at 31 October 20*8.

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Stock 1 November 20*7 Purchases Trial balance at 31 October 20*8 Dr Cr Sales Returns inwards Returns outwards Wages Rent and rates Advertising and insurances Light and heat expenses Motor expenses Office equipment at cost Delivery vehicles at cost Provision for depreciation Office equipment Delivery vehicles Trade debtors Bank overdraft Cash in hand Capital Drawings Trade creditors £ 2,468 64,128 1,111 67,491 5,400 3,780 6,437 18,542 17,400 46,000 14,673 430 21,300 269,160 £ 192,587 382 8,874 29,440 4,372 27,706 5,799 269,160