William Evans is a sole trader, and his financial year ends on 31 December each year. On 4 January 20-5 he purchased machinery costing £15,500, paying by cheque. Evans plans to use the machinery for four years and estimates that at the end of that time its residual value will be £3,000.

A provision for depreciation was established and depreciation was calculated on the straight line method. On 3 January 20-9 the machinery was sold for £3,250.

You are required to draw up for the years 20-5, 20-6, 20-7, 20-8 and 20-9:

(a) machinery account

(b) provision for depreciation account

(c) disposal account

(d) the relevant extracts for each year in the profit and loss account and the balance sheet.