Jon Frank Ltd has just finished its first year of trading to 31 December 2012. Corporation tax throughout was $40 \%$ and income tax $20 \%$. You are given the following information:

(i) Net trading profit, after adjustment for (ii) but before other adjustments, was $£ 780,000$.

(ii) Depreciation of $£ 140,000$ was charged. Capital allowances were $£ 220,000$.

(iii) An interim dividend of $4 \%$ on 1.6 million $£ 1$ ordinary shares was paid on 1 July 2012.

(iv) Loan-note interest of $£ 28,000$ (net) was paid on 31 December 2012.

(v) Income tax deducted from loan-note interest was paid on 31 January 2013.

(vi) A final dividend of $6 \%$ was proposed for the year.

(vii) Corporation tax for the year was estimated to be $£ 290,000$.

\section*{You are required to:}

(a) draw up the double entry accounts recording the above (except bank);

(b) show the relevant extracts from the income statement and the statement of financial position.