Bill and Ben trade in partnership under the name 'The Master Potters'.

Their partnership agreement allows for the payment of interest on capital at 12% per year and a salary to Ben of £2,000 per year. The remainder, whether profit or loss, is to be apportioned in the ratio of Bill 3: Ben 1.

Using the trial balance and other information given below, prepare the trading, profit and loss and appropriation account for the year ended 30 April, and a balance sheet as at that date.

Trial balance as at 30 April Capital afcs at 1 May, previous year Sales income Purchases Salaries to employees Rent, rates, lighting and heating Advertising Motor expenses Telephone and postage General expenses Creditors Bank and cash The other information you need is as follows: LO.1