The following is the balance sheet of WW Limited as at 31 December 2004:

Required:
Prepare a balance sheet as at 31 December 2005 and a profit and loss account for the year to that date.

Transcribed Image Text:

Balance sheet as at 31 December 2004 Non-current assets Machinery 25,300 Current assets Stock-in-trade 12,200 Trade debtors 21,300 Prepaid expenses (rates) 400 Cash 8,300 sured the B3 year 42,200 Less Current liabilities Trade creditors 16,900 Accrued expenses (wages) 1,700 18,600 23,600 48,900 Capital Original Retained profit 25,000 23,900 48,900