At the beginning of the financial year on 1 April 2005, a company had a balance on plant account of £372,000 and on provision for depreciation of plant account of £205,400.

The company’s policy is to provide depreciation using the reducing balance method applied to the fixed assets held at the end of the financial year at the rate of 20% per annum.

On 1 September 2005 the company sold for £13,700 some plant which it had acquired on 31 October 2001 at a cost of £36,000. Additionally, installation costs totalled £4,000. During 2003 major repairs costing £6,300 had been carried out on this plant and, in order to increase the capacity of the plant, a new motor had been fitted in December 2003 at a cost of £4,400. A further overhaul costing £2,700 had been carried out during 2004.

The company acquired new replacement plant on 30 November 2005 at a cost of £96,000, inclusive of installation charges of £7,000.

Required:

Calculate:

(a) the balance of plant at cost at 31 March 2006

(b) the provision for depreciation of plant at 31 March 2006

(c) the profit or loss on disposal of the plant.