The following balances were taken from the trial balance of L Goburn as at 31 December 2007.

From this data, construct the manufacturing account and statement of comprehensive income for the year ended 31 December 2007.

Additional information:
1 Inventory as at 31 December 2007:

2 Manufacturing wages accrued at 31 December 2007: £1,250 3 Prepaid insurance at 31 December 2007: £444 4 Rent is to be apportioned between indirect overheads and the office in the proportion 3/4:1/4 5 Insurance is to be apportioned between indirect overheads and the office in the proportion 4/5:1/5 6 Machinery is to be depreciated at 10% on cost 7 Office equipment is to be depreciated at 20% using reducing balance.

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Inventory as at 1 January 2007: Raw materials Work-in-progress Finished goods 8,989 6,456 13,134 Manufacturing wages Purchases of raw materials Factory indirect wages Factory power Rent 87,990 95,600 56,464 12,313 8,680 Machinery at cost 42,500 Office equipment at cost 34,000 Provision for depreciation: Machinery 5,433 Provision for depreciation: Office equipment 12,500 Carriage inwards 312 Carriage outwards 453 Sales Royalties Administrative wages Insurance 324,000 3,123 53,455 3,214