Chilwell Ltd prepares financial statements to 31 October each year. The company's trial balance at 31 October 2017 is as follows:

The following information is also available:

1. Land is non-depreciable and is to be revalued at £280,000 on 31 October 2017.

2. The buildings were acquired on 1 November 2006. At that time, their useful life was estimated to be 50 years and it was decided to adopt the straight-line method of depreciation, assuming no residual value. On 1 November 2016, it was determined that the useful life of the buildings would end on 31 October 2046. The estimate of residual value remains unchanged.

3. Equipment and vehicles are depreciated at 25% per annum on the reducing balance basis. A full year's depreciation is charged in the year of acquisition. No depreciation is charged in the year of disposal. In June 2017, a distribution vehicle which had cost £64,000 in February 2013 was sold for £18,000. This amount was debited to the bank account and credited to a disposal account, but no further entries have yet been made with regard to this disposal.

4. Depreciation of buildings should be split 70:30 between administrative expenses and distribution costs. Depreciation of equipment and vehicles should be split 40:60 between administrative expenses and distribution costs.

5. The cost of inventory at 31 October 2017 is £92,280.

6. Trade receivables include bad debts of £2,000 which should be written off. The allowance for doubtful receivables should then be adjusted to 2% of the remaining trade receivables.

7. The company's tax liability for the year to 31 October 2016 was underestimated by £8,400. The liability for the year to 31 October 2017 is estimated to be £20,000 and falls due on 1 August 2018.

8. The loan stock was issued on 1 January 2017. Interest is payable half-yearly on 30 June and 31 December. The interest due on 30 June 2017 was paid on the due date. Accrued interest at 31 October 2017 has not yet been accounted for.

9. Directors' fees are to be treated as administrative expenses. Wages and salaries should be split 50:50 between administrative expenses and distribution costs.

10. A 1 for 2 bonus issue of ordinary shares was made on 1 July 2017, financed out of retained earnings. No entries have yet been made in relation to this issue.

Required:

Prepare the following financial statements for Chilwell Ltd in accordance with the requirements of international standards:

(a) a statement of comprehensive income for the year to 31 October 2017

(b) a statement of changes in equity for the year to 31 October 2017

(c) a statement of financial position as at 31 October 2017.

Formal notes to the accounts are not required, but all workings should be shown.

(CIPFA)

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£ Land at valuation 250,000 300,000 197,400 Buildings at cost Equipment and motor vehicles at cost Allowances for depreciation at 1 November 2016: Buildings Equipment and motor vehicles Disposal of vehicle Inventory at 1 November 2016 Trade receivables and payables 60,000 105,750 18,000 87,520 71,500 103,290 1,520 10,390 Allowance for doubtful receivables at 1 November 2016 Bank balance Тахation 8,400 9% Loan stock (repayable 2021) Purchases and sales 120,000 1,025,420 12,570 483,230 27,110 50,000 102,400 143,440 107,050 Returns inwards and outwards Directors' fees Wages and salaries General administrative expenses General distribution costs Royalties received Interest paid Dividends paid Ordinary shares of £1 Revaluation reserve 10,270 6,220 35,000 80,000 75,000 247,060 Retained earnings at 1 November 2016 1,869,270 1,869,270