The following is the balance sheet of WW Company as at 31 December 2004:

Balance sheet as at 31 December 2004

£££

Non-current assets Machinery 25,300 Current assets Inventories 12,200 Trade receivables 21,300 Prepaid expenses (rates) 400 Cash 8,300 42,200 Less Current liabilities Trade payables 16,900 Accrued expenses (wages) 1,700 18,600 23,600 48,900 Capital Original 25,000 Retained profit 23,900 48,900