mega plc has provided you with the following data for the year ended 31 December Year 3, after the preparation of the Manufacturing Account

1. Omega plc has provided you with the following data for the year ended
31 December Year 3, after the preparation of the Manufacturing Account.
£(000s)
Sales………………………………………………………………………….2,750
Factory Cost of Production …………………………………………….. 600
Investments ………………………………………………………………..1,000
Stocks:
Raw Materials 31 December Year 3 ………………………………. 150
Work in Progress 31 December Year 3…………………………….. 75
Finished Goods 1 January Year 3 …………………………………. 360
Purchases of Finished Goods…………………………………………… 750
Carriage Inwards on purchases of Finished Goods ………………… 10
Prepaid Manufacturing Expenses ………………………………………. 15
Manufacturing Wages accrued…………………………………………… 10
Wages and Salaries………………………………………………………… 120
Interim Ordinary Dividend paid 30 June Year 3………………….. 250
Interim Preference Dividend paid 30 June Year 3 …………………. 30
General Expenses………………………………………………………….. 180
Debenture Interest paid …………………………………………………… 20
Debtors ………………………………………………………………………. 325
Creditors …………………………………………………………………….. 150
Directors Fees ……………………………………………………………… 125
Bank Overpublish………………………………………………………………. 70
Cash…………………………………………………………………………….. 55
Premises (Cost)……………………………………………………………1,800
Delivery Vehicles (Cost)………………………………………………..1,000
Plant and Machinery (Cost)…………………………………………….. 800
Provision for Depreciation:
Delivery Vehicles………………………………………………………. 500
Plant and Machinery………………………………………………….. 410
Interest Received ……………………………………………………………. 30
VAT (Cr) ……………………………………………………………………… 20
10% Debentures …………………………………………………………… 300
Ordinary Shares, fully paid, 50p per share ………………………..2,500
10% Preference Shares of £1 each …………………………………….. 600
Share Premium…………………………………………………………….. 200
Profit and Loss Account Balance 31 December Year 2 ………….. 125

In addition: 1 Stocks of Finished Goods on 31 December Year 3—£250,000.
2 No fixed assets were purchased or sold throughout the year.
Delivery vehicle depreciation is provided at a rate of 20% annually on the diminishing balance.
3 At the end of the third year, the following costs had accrued and been paid in full.
Accruals Prepayments
$25,000 in general expenses
£15,000 audit fee
$20k in salaries and wages
4. Distribute the costs as shown.
Cost of Distribution and Administration for Sales
general costs 20% 60% 20%
100% audit fee
Salary and Wages 10% 20% 70%
Depreciation on delivery vehicles: 40% 60%
5 Budget £50,000 for corporation tax.
6 At the end of Year 3, investments had a market worth of £1,200,000.
On June 30th, Year 3, 7 Debentures worth £100,000 were redeemed. On June 30, Year 4, an additional £100,000 is due for redemption.
During Year 3, 8 properties received a £2,000,000 revaluation.
You must create Omega Plc’s Profit and Loss Account and Balance Sheet in a format acceptable for publication for the year ended December 31, Year 3.
(NB Full working notes should be shown).