Nu Plc
 Date: 30 September 2023

Trial Balance:

Description	Dr (£000)	Cr (£000)
Bank overdraft		90
Called-up share capital (ordinary shares of £1 each)		2,700
Accounts payable		120
Accounts receivable	100
Non-current assets: at cost	440
Accumulated depreciation (at 1 October 2022)		260
Marketing expenses	240
Office expenses	270
Retained profits (at 1 October 2022)		340
Production expenses	3,600
Purchases (net of VAT)	5,000
Sales (amounts invoiced, net of VAT)		10,000
Inventory (at 1 October 2022)	260
Trade accounts payable		290
Trade accounts receivable	3,700
Total	10,260	10,260

Additional Information:

1. Inventory at 30 September 2023 was valued at £300,000.
2. At 30 September 2023, £85,000 was owing for office expenses, and £75,000 had been paid in advance for marketing expenses.
3. A customer had gone into liquidation owing the company £430,000; the company does not expect to recover any of this debt.
4. The company decides to set up an allowance for doubtful debts amounting to 5% of the outstanding trade accounts receivable as at the end of each financial year.
5. Depreciation is to be charged on the non-current assets at a rate of 20% on cost; it is to be apportioned as follows:
   • Marketing: 25%
   • Office: 25%
   • Production: 50%

Note:
 There were no acquisitions or disposals of non-current assets during the year to 30 September 2023.

Required:
 Prepare Nu Plc’s income statement for the year ending 30 September 2023, and a balance sheet as at that date.