On Thursday, the fourth day of his business venture, Paul, the street trader in wrapping paper, bought more inventories for £53 cash. During the day he sold inventories that had cost £33 for a total of £47.

Statement of cash flows for Monday

£

Opening balance (cash introduced)………….40

Cash from sales of wrapping paper ………....45

Cash paid to buy wrapping paper…………...(40)

Closing balance of cash…………………….....45

Income statement (profit and loss account) for Monday

£

Sales revenue……………………………….....45

Cost of goods sold (3/4 of £40)……………...(30)

Profit………………………………………….....15

Statement of financial position (balance sheet) as at Monday evening

£

Cash (closing balance)………………………..45

Inventories of goods for resale (1/4 of £40)...10

Total assets………………………………….....55

Equity……………………………………….......55

Required: 

Draw up the three financial statements for Paul’s business venture for Thursday.