The following is the trail balance of the Gordon Blair café for the year ended 30th June

2017.

st
Dr (£) Cr (£)
Inventory 1 July 8000
Carriage outward 546
Carriage Inwards 156
Return inwards 186
Return Outwards 135
Purchases 86046
Sale 124250
wages 8250
Shop rent 2560
Insurance 120
Vehicle Maintenance 256
Birthday Catering 2500
Special Sunday Brunch 740
Office expenses 2000
Newspaper 48
General Expenses 2056
Land and building 8000
Vehicles 8000
Fixture and Fittings 700
Salaries 3500
Baking equipment 5480
Equipment Maintenance 1040
Printing & Stationary 640
Investment income 2000
Magic Show tickets 400
Thanksgiving Income 138
Accounts Receivable 20280
Bar income 45
Accounts Payable 10056
Cash at Bank 650
Drawings 1750
Capital 20,000
TOTAL 160264 160264
The following is the trail balance of the Gordon Blair café for the year ended 30th June
2017.

Additional information

a) Inventory as on 30th June 2017 was £ 7550

b) Depreciate vehicle , fixture & fitting , Land building and Baking equipment on
straight line method
c) Assets Useful life are as follow :-

Asset Useful Life

Land building 15

Vehicle 10

Baking equipment 05

fixture & fitting 03

d) 10% of the account receivables are feared to be irrecoverable.

e) The wages and the Shop Rent have been prepaid amounting to £300 and £ 650
respectively.
f) The insurance amounting to £ 400 and Printing & Stationary amounting to £600 are
outstanding.
g) The Special Sunday Brunch income and Magic Show tickets income are outstanding
amounting to £800 and £1200 respectively

h) The Birthday Catering Income and Investment income are unearned to the extent of £1000
and £1500
i) The café owner Nicole Larson demand 5.5% interest per year on her capital

Required: Draw up the following statements of accounts for Gordon Blair café
a) Trading account for the year ended 30th June 2017
b) Profit and loss account for the year ended 30th June 2017
c) Balance sheet as on 30th June 2017.