The following is a summary of the transaction that took place during the year:

• Inventories were bought on credit for £17,220.
• Inventories were bought for £3,760 cash
• Credit sales revenue amounted to £33,100 (cost £15,220)
• Cash sales revenue amounted for £10,360 (cost £4,900)
• Wages of £3,770 were paid.
• Rent of £3,000 was paid. The annual rental amounts to £3,000.
• Electricity of £1,070 was paid.
• General expenses of £580 were paid.
• Additional fittings were purchased on 1 January for £2,000. The cash for this was raised from additional borrowings of this amount. The interest rate is 10 per cent a year, the same as for the existing borrowings.
• £1,000 of the borrowing was repaid on 30 June.
• Cash received from trade receivables amounted to £32,810.
• Cash paid to trade payables amounted to £18,150
• The owner withdrew £10,400 cash and £560 inventories for private use.
• At the end of the year it was found that:
• The electricity bill for the last quarter of the year for £290 had not been paid.
• Trade receivables amounting £260 were unlikely to be received.
• The value of stationery remaining was estimated at £150. Stationery is included in general expenses.
• The borrowings carried interest of 10 per cent a year and was unpaid at the year end.
• Depreciation is to be taken at 20 per cent on the cost of the fittings owned at the year end. Buildings are not depreciate

Required:

• Open ledger accounts and bring down all of the balances in the opening statement of financial position.
• Make entries to record the transaction 1 to 13 (above), opening any additional accounts as necessary.
• Open an income statement (part of the double entry, remember). Make the necessary entries for the bulleted list above and the appropriate transfers to the income statement
• List the remaining balances in the same form as the opening statement of financial position (above)