11.1 Fergus's business enters into the following transactions in the year to 31 December 20X2:

• Fergus introduces additional capital of £10 000 in cash.

• Purchase on credit of goods for resale for £8000.

• Payment received from debtor for £1800.

• Purchase of a new machine for use in the business. The machine costs £12 000 and will be depreciated over ten years on the straight-line basis, assuming no residual value, with a full year's depreciation in the year of acquisition.

• Sales returns of £1000 in exchange for a cash refund.

• Drawings of £1300.

For each transaction show the impact on cash, other assets and liabilities, and the impact on profits.