Charles is a wholesaler of accounting stationery. He conducts his business froma small warehouse which he owns. Part of the building is sub-let to another trader at an annual rent of £2 600. The following year-end trial balance “

has been extracted from his books at the close of business on 30 June 19_3:

Additional information:
(1) Stock at 30 June 19_3, £20 000 (2) Heating and lighting accrued at 30 June 19_3, £500. ‘
(3) The fall in value of the delivery vans during the year is estimated at £5000.
(4) Charles frequently takes home stationery for personal use. The total value of goods taken over the year is estimated at £2 000.
Required:
Charles’ trading and profit and loss account for the year ended 30 June 19_3 and a balance sheet as at that date.

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Bad debts Bank Trial balance as at 30 June 19_3 Dr Cr 500 4 400 Capital 55 000 Debtors 10 000 Drawings 13 000 Creditors 9 500 Heating and lighting 1 500 Motor vehicles, at cost 22 000 Provision for depreciation 7.000 Motor vehicle expenses 4 000 Postage and stationery Purchases Rent and rates Rent received 1 600 66 000 8.000 2.000 Returns inwards 5.000 Salaries and wages 11 500 Sales 115 000 Stock 16.000 Warehouse (land and buildings) 25 000 188 500 188 500