Although Deborah Adefowope has run a small business for many years, she has never kept adequate accounting records. However, a need to obtain a bank loan for the expansion of the business has necessitated the preparation of final accounts for the year ended 31 August 2009. As a result, the following information has been obtained after much careful research:

1. Deborah Adefowopes business assets and liabilities are as follows:

As at			1/09/08		31/08/09
Stock in trade			GHS8,600		GHS16,800
Debtors for sales			3,900		4,300
Creditors for purchases			7,400		8,900
Rent prepaid			300		420
Electricity accrued due			210		160
Balance at bank			2,300		1,650
Cash in hand			360		330

2. All takings have been banked after deducting the following payments: Cash drawings Deborah Adefowope has not kept a record of cash drawings,

but suggests these will be in the region of GHS8,000

Casual labour 1,200

Purchase of goods for resale 1,800

Note: takings have been the source of all amounts banked.

3. Bank payments during the year ended 31 August 2009 have been summarised as follows: GHS

Purchases 101,500

Rent 5,040

Electricity 1,390

Delivery costs (to customers) 3,000

Casual labour 6,620

4. It has been established that a gross profit of 33^1/3% on cost has been obtained on all the goods sold
5. Despite her apparent lack of practice accounting records, Deborah is able to confirm that she has taken out of the business during the year under review goods for her own use costing GHS600.

Required:

1. Prepare a computation of total purchases for the year ended 31 August, 2009
2. Prepare an income statement for the year ended 31 August 2009 and a statement of financial position as at that date