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The following Trial Balance was extracted from Lucy's books at 28 February 2011: Dr Cr Capital at 1 March 2010 14,880 Equipment 9,000 Vehicles 11,000

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The following Trial Balance was extracted from Lucy's books at 28 February 2011: Dr Cr Capital at 1 March 2010 14,880 Equipment 9,000 Vehicles 11,000 Stock at 1 March 2010 5.450 Provisions for depreciation: equipment 4.200 vehicles 4,600 Sales 94,827 Purchases 32,849 Returns 217 628 General expenses 18,647 Vehicle expenses 4,852 Wages 26,214 Drawings 3.600 Discounts 746 233 Bank 4,592 Cash 250 Debtors and Creditors 16.782 5.647 129.607 129.607 Additional information at 28 February 2011: (1) Stock 5,780 (2) Included in General expenses is the cost of decorating Lucy's house 650 (3) Wages accrued 520 (4) Vehicle expenses prepaid 175 (5) Depreciation is calculated as follows: equipment -20% per annum on cost vehicles - 20% per annum reducing balance (6) A bad debt of 286 to be written off REQUIRED Prepare the Trading and Profit & Loss Account for the year ended 28 February 2011 (b) Balance Sheet at 28 February 2011 (12 marks) (13 marks) (Total 25 marks)

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