Explain how you propose to deal with the following:

the balance of £7100, i.e. the profit after drawings;

the drawings from the business by Susan and Bob in year 2;

the money introduced by Bob in year 2.

Produce the final accounts of the partnership for year 2 in a form suitable for a partnership.

Discuss what changes would need to be made if Susan and Bob decided to form a company to take over the business to protect both partners' interests as they stand under the current partnership agreement.