Helen Duff provides the following information:

Additional information at 31 December 20*8

■ Stock was valued at £9,003.
■ Helen provides depreciation on office equipment at 10% per annum using the straight line method; she provides depreciation on her delivery vehicle at 25% per annum using the straight line method.

Required

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

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Trial balance at 31 December 20*8 Stock 1 January 20*7 Purchases Sales Wages Rent and rates Advertising and insurances Motor expenses Office equipment at cost Delivery vehicle at cost Provision for depreciation Office equipment Delivery vehicle Trade debtors Bank Cash in hand Capital Drawings Trade creditors Dr £ 8,119 98,437 56,320 4,760 5,982 15,135 27,300 40,000 15,781 3,202 126 19,400 294,562 Cr £ 196,347 5,460 10,000 68,039 14,716 294,562