Spain has recently gone into business manufacturing office chairs.

Details of the transactions for the first month arc given below.

Day I Opened a bank account and paid in £10000 of own money.

Purchased machinery to make the chairs at a cost of £4000 paid for immediately.

Rented factory space at a rental of £200 per month and paid one month's rent in advance.

Bought office equipment at a cost of £400.

Day 2 Bought 1000 m of steel tubing at a price of £50 per I 00 m and paid for this immediately.

Day 3 Purchased 250 packs of end fittings for £125, together with a quantity of screws costing £40. Both of these purchases were paid for immediately.

Day 4 Purchased 150 sets of ready-cut seat bases and backrests at a price of £5 per set, and paid for them.

Day 5 Bought upholstery materials and cloth for seat covers for £400.

Day 8 Received an order for 20 chairs at £50 each together with accompanying cheque.
Day 9 Paid the cheque into the bank and commenced manufacture of the chairs.
Day 14 Completed manufacture of the chairs for order and despatched these to the customer, paying £40 total delivery charges.
At this stage it was possible to do some preliminary calculations relating to the manufacture of the chairs. These showed that each chair required the following:
Labour manufacturing, 2 h per frame upholstering seats and backrests, ~ h per set assembling chairs, ~ h per chair Materials per chair 4 m of metal tubing one pack of end fittings one set of seat/backrest quantity of upholstery materials etc.
Day 15 Received an order for another 200 chairs at a price of £50 each.
Payment was to be on a cash-an-delivery basis.
Day 15 Commenced work on the new order.
Day 26 Purchased and paid for another hundred sets of seats and backrests. However, the price per set had gone up to £6.
Day 30 Paid himself wages for the month of £320 calculated on the basis of £80 per week for a 40 h week.
The position at the end of the month was established as follows.
Completed chairs ready for delivery 20 Manufactured frames 10 In addition there was in stock 800 m of steel tubing 210 packs of end fitting 210 seat and backrest sets half the screws and upholstery materials Draw up a worksheet for Spain and enter the above transactions.