Self-test Tilly Teasdale owns a general store. She provides the following information at 31 December 2008.

Bad debts written off 88 Equipment at cost 12,000 General expenses 50,841 Motor expenses 7,217 Motor vehicles at cost 65,000 Provisions for depreciation – equipment 3,600

– motor vehicles 55,040 Purchases 107,087 Rent and rates 2,140 Sales 264,255 Stock at 1 January 2008 8,132 Stock at 31 December 2008 7,611 Wages 71,637 Additional information at 31 December 2008 The following items have not yet been taken into account.
1. Tilly took goods to the value of £1,700 from the business for her own personal use.
2. Wages remaining unpaid amounted to £830.
3. Rates prepaid for the year ended 31 December 2009 amounted to £400.
4. A motor vehicle purchased during the year for £23,000 had been included in the general expenses account.
5. A repair costing £2,000 to one of the vehicles had been included in the motor vehicles account.
6. Depreciation is to be charged at the following rates:
– equipment at 10% per annum using the straight-line method;
– motor vehicles at 40% per annum using the reducing balance method.
It is Tilly’s policy to charge a full year’s depreciation on the value of assets held at the end of the financial year.
Required:
Prepare a trading and profit and loss account for the year ended 31 December 2008.
(AQA Financial Accounting Unit 3 Jan 2009)