Th e following informat ion was extr acted from the accounting records of Higham Products for the three-month VAT peri od ending on 31 March 1984.

(i) Balance s at:

Trade debtor s Trade credito rs Accru ed expenses Stocks 1./.84 34500 19550 8 050 46000 31.3.84 32200 24500 7590 55200

(i i) Receipt s fro m custo me rs £88895;

(iii) Payments to suppliers £43 700;

(iv) Payments for operating expenses £24 380;

(v) VAT payabl e I January 1984, £ 180.

All goods bou ght and sold are subject to VAT at th e sta nda rd rate, as are all expenses, apa rt from £3200 relat ing to exempt good s.

Prepar e the following for the first three months of 1984:

(a) a VAT acco unt;

(b) a summarised Incom e Statement.