The following list erf balances was extracted from the books of Newman P LC on the 31 December 1984:

Notes:
(i) Stock at 31 December 1984 £90,000.
(ii) Provide tor depreciation of plant and machinery at 20 per cent on cost, and on motor vehciles at 25 per cent of the written down value.
(iii) Accrue auditors' fees £3,000.
(iv) Provide for corporation tax of £45,000.
(v) Debenture interest accrued £2,000.
(vi) Provide for the preference dividend and an ordinary dividend of 10 per cent.
(vii) General administrative expenses include rates prepaid £1,000.
(viii) Transfer £40,000 to general reserve.
Required:
(i) Prepare for internal use the trading, profit and loss and appropriation account for the year ended 31 December 1984 and a balance sheet as at that date.
(ii) In so far as the information provided allows, prepare the final accounts in published form.

Transcribed Image Text:

'000 l ordinary shares '000 250 8% 1 preference shares Share premium General reserve Profit and loss account 33228 50 20 12 58 Stock 99 66