David Bowie, a sole trader, has extracted the following trial balance as at 31 January 20x7.

Required 

1 Prepare the profit and loss accounts for the year ended 31 January 20x7.
2 Prepare the balance sheet as at that date.
Use the blank sheets provided below.

Transcribed Image Text:

Trial balance as at 31 January 20x7 Telephone and internet Freehold land and buildings Cash in hand Purchases 1,000 29,500 100 65,000 Trade debtors Sales Salaries Trade creditors 8,100 92,000 15,200 1,900 Motor van 12,200 Cash at bank 3,900 Capital (as at 1 January 2007) 52,700 Rent 7,200 Insurances 600 Fixtures and fittings 3,800 146,600 146,600