REQUIRED : PREPARE BALANCE SHEET , INCOME STATEMENT AND ADJUSTING ENTRIES .

You have been asked to help prepare the financial statements of Benard Ltd for the year ended 31 October 2007 The company's trial balance as at 31 October 2007 is shown below. Benard Ltd Trial balance as at 31 October 2007 Benard Ltd Trial balance as at 31 October 2007 Dobit Credit 000 2000 12.000 3.348 58,463 27.974 6.690 387 XShare capital Trade and other payables Property, plant and equipment -cost Property.plant and equipment - accumulated depreciation Trade and other receivables Accruals 7% bank loan repayable 2012 Cash at bank Retained eamings Interest sales 16.000 1.184 12.345 560 50.875 35,2456 v Purchases 678 Returns inwards 453 Returns outwards 6,654 4.152 8.456 Distribution costs Administrative oxpenses Inventones as at 1 November 2006 Final dividend for year ended 31 October 2006 Interim dividend for year ended 31 October 2007 700 600 123,382 123,382 Further information: The share capital of the company consists of ordinary shares with a nominal value of 1. The sales figure in the trial balance does not include the credit sales for October 2007 of 3,564,000. + The inventories at the close of business on 31 October 2007 cost 9,786,000. Goods for resale costing 127,000 purchased on two months' credit in October 2007 were returned to the suppli on 30 October 2007. No entries have been made in the accounts in the trial balance. The company paid 48,000 insurance costs in June 2007, which covered the period from 1 July 2007 to 30 June 2008. This was included in administrative expenses in the trial balance. . Interest on the bank loan for the last six months of the year has not been included in the accounts in the trial balance. The corporation tax charge for the year has been calculated as 1,254,000 . All of the operations are continuing operations