The trial balance for Jock at 31 December 20X8 is as follows:

Additional information
1. Closing inventory value is £500.
2. The rates in the trial balance cover the 15 months to 31 March 20X9.
3. The motor car is depreciated using 20 per cent straight-line method.
4. A credit customer with a balance on his account of £1,000 is bankrupt.
5. Remove the provision for discounts and provide for a 10 per cent allowance for irrecoverable debts.

Required
a. Prepare the statement of performance for Jock for the year ended 31 December 20X8.
b. Prepare the statement of financial position at the same date.

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Sales revenue Trade receivables Allowance for irrecoverable debts Purchases Trade payables Provision for discounts Rent Rates Inventories Motor car Provision for depreciation Bank Capital account Debit £ 5,000 2,000 200 300 100 10,000 5,000 22,600 Credit £ 10,000 250 1,000 100 2,000 9,250 22,600