The following balances have been extracted from the books of Margo Ltd for the year to 31 January 2006:

Additional information:
1 Corporation tax owing at 31 January 2006 is estimated to be £3000.
2 Margo Ltd’s authorized share capital is £75 000 of £1 ordinary shares.
3 A dividend of 10p per share is proposed.
Required:
Prepare Margo Ltd’s profit and loss account for the year to 31 January 2006 and a balance sheet as at that date.

Transcribed Image Text:

Cash at bank and in hand Plant and equipment: At cost Accumulated depreciation (at 31.1.06) Dr 000 Cr 000 5 5 c/f 70 70 25 25 22