1. From the following trial balance of G Elliot, you are asked to draw up a SOPL statement for the year ended 31 December 2007 and a SOFP as at that date.

	Dr	Cr
Sales		28,545
Purchases	16,440
Inventory as at 1 January 2007	4,330
Carriage inwards	105
Carriage outwards	176
Returns inwards	235
Returns outwards		169
Wages	4,750
Insurance	320
Advertising	205
Motor expenses	96
Capital		28,991
Drawings	1,160
Premises	15,600
Equipment	3,340
Vehicles	7,850
Accounts receivable	3,265
Accounts payable		2,876
Bank	1,560
Cash in hand	745
Sundries	404
	60,581	60,581

Inventory at the close of business was valued at 5,690