4.1 Stoll, a trader, pays all his business takings into his bank account. All business payments are made by cheque. The following is a summary of his bank account for the year 20X5:

Bank Summary Receipts Payments Balance Balance 1 January 20X5 480 Received from debtors 31,560 Payments to trade creditors − 24,800 General expenses − 2,524 Rent − 300 Drawings 3,600 31,560 − 31,224 Balance 31 December 20X5 816 The following information is obtained from the available records:
31 Dec. 31 Dec.
20X4 20X5 Trade debtors 1,900 2,344 Trade creditors 1,630 1,930 Stock 2,040 1,848 Furniture and fittings:
at cost less accumulated depreciation 400 360

(a) Calculate the balance of Stoll’s capital at 31 December 20X4.

(b) Prepare the trading and profit and loss account for the year 20X5 and the balance sheet as at 31 December 20X5. Present these accounting statements in vertical format.