Self-test You are given the following information relating to assets and liabilities of J Jones for the 2009 year.

Assets and liabilities 1 January 31 December Equipment at cost 3,000 3,000 Stock 2,550 3,600 Debtors 2,130 2,490 Creditors 1,620 1,680 Bank balance 480 420 During the year there were a number of transactions, all of which were entered into the bank account. A summary of these is as follows:

Receipts from debtors 20,670 Payments to creditors 9,600 Payments for trade expenses 5,430 Drawings 5,700 The equipment is depreciated annually at 10 per cent of its cost.

You are required to calculate the capital account of J Jones at 1 January 2009 and the profit and loss account and balance sheet for the year to 31 December 2009.