Henry York is a sole trader who keeps records of his cash and bank transactions. His transactions for the month of March were as follows:

March 

1 Cash in hand £100, Cash at bank £5,672 

4 York received a cheque for £1,246 from W Abbot which was paid directly into the bank.

This represented sales.

6 Paid wages in cash £39 

8 Sold goods for cash £152 

10 Received cheque from G Smart for £315, in full settlement of a debt of £344; this was paid directly into the bank.

11 Paid sundry expenses in cash £73 

14 Purchased goods by cheque for £800 

18 Paid J Sanders a cheque of £185 in full settlement of a debt of £201 

23 Withdrew £100 from the bank for office purposes 

24 Paid wages in cash £39 

26 Sold goods for cash £94 2

8 Paid salaries by cheque £230 31 Retained cash amounting to £150 and paid the remainder into the bank Required:

(a) Enter the above transactions within T-accounts and bring down the balances.

(b) Assuming no opening debtors, creditors or stock, prepare a trading and profit and loss account for the month ending 31 March.