Self-test Dixon and Phillips are in partnership sharing profits and losses in the ratio 2:1 respectively. The following trial balance has been drawn up at 31 March 2009.

DR CR £ £
Land – at cost 100,000 Buildings – at cost 126,000 Fixtures – at cost 8,000 Cumulative depreciation (at 1 April 2008)
– Buildings 9,450 – Fixtures 1,600 Stock (at 1 April 2008) 2,100 Debtors 4,900 Creditors 1,300 Bank overdraft 840 Sales 78,600 Purchases 31,700 Rent 1,120 Rates 2,360 Insurance 3,540 Heating 8,020 Salaries and wages 14,290 Capital – Dixon 150,000 – Phillips 75,000 Current – Dixon 1,750 – Phillips 2,650 Drawings – Dixon 4,180 – Phillips 6,180 316,790 316,790 The following information is also available:
(i) Closing stock at 31 March 2009 was £4,240.
(ii) Rent accrued at 31 March 2009 was £400.
(iii) Insurance prepaid at 31 March 2009 was £720.
(iv) Depreciation was to be provided as follows:
Buildings at 2.5 per cent per year on a straight line basis assuming nil residual value.
Fixtures at 20 per cent per year on a reducing balance basis.
(v) Partnership salaries are as follows:
Dixon £2,000.
Phillips £500.
(vi) Interest on capital is allowed at 5 per cent per year.
Required:

(a) Prepare the trading, profit and loss account and appropriation account for Dixon and Phillips for the year ended 31 March 2009.

(b) Prepare a balance sheet for Dixon and Phillips at 31 March 2009