Mr. Bean intends to set up in business as an antiques dealer. He places £20,000 of his own money into a business bank account then purchases items for resale for £12,000 and a van for £5,000. He rents a shop for £3,600 per annum paying the first monthly instalment of rent. At the end of his first month of trading he is able to identify the fact that he has sold for cash two items, one costing £2,000 for £3,500, and one costing £500 for £800.

Draw up the balance sheet for Mr Bean as at the end of the first month's trading and a profit and loss account for the period.