The trial balance of Carruthers & Co Ltd at 31 January 2000 is as follows:

Additional information: 1. Stock at 31 January 2000 is valued at 83,710. 2. Depreciation of equipment for the year to 31 January 2000 is 12,860. 3. The doubtful debts provision is to be reduced to 900. 4. Interest on the 7% debentures for the year to 31 January 2000 has not yet been paid or provided for. The debentures are to be redeemed in 2002. 5. The corporation tax liability for the year is estimated to be 45,000. 6. The directors propose that the preference dividend for the year should be paid and that an ordinary dividend of 3 per share should also be paid. Required: Prepare a trading and profit and loss account and an appropriation account for the year to 31 January 2000 and a balance sheet as at that date.

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Dr balances Cr balances Land and buildings at cost 325,000 Equipment at cost 84,290 Prov'n for depreciation of equipment at 1/2/99 37,940 Stock at 1/2/99 91,180 Debtors and creditors 42,760 35,410 Provision for doubtful debts at 1/2/99 1,070 Bank balance 6,320 Purchases and sales 371,990 605,430 Operating expenses 95,680 7% debentures 50,000 10 ordinary shares, fully paid 200,000 5% preference shares of 1 each, fully paid 40,000 Profit and loss account at 1/2/99 34,730 1,010,900 1,010,900