Simon Eurat (continued)

You have the following additional information.

1. 10% of the debtors are considered bad.

2. £800 of the insurance is prepaid.

3. There is £250 owing for electricity and £300 owing for telephone.

4. Depreciation on taxis is to be 25% on cost and on buildings 2% on cost.

Required:

Prepare S. Eurat’s trading and profit loss account for the year ended 30 June 2002 and balance sheet as at 30 June 2002. s