Emma began business as a retailer on 1 January 20X1. During January 20X1 she carried out the following transactions:
1 January 20X1
(a) Paid £35,000 into the business bank account, of which £20,000 was from personal savings and £15,000 was a loan from the bank at 12 per cent per annum interest.
(b) Rented a shop for a monthly rent of £3,500 payable in advance.
(c) Bought fixtures and fittings for £7,500, paid for from the business bank account.
(d) Bought 10,000 units at a price of £2.00 each.
14 January 20X1
(e) Sold 4,000 units at £4.50 each for cash and paid the proceeds into the business bank account.
(f) Paid the following expenses from the business bank account:
Lighting and heating
31 January 20X1
(g) Sold 5,000 units for £5.00 each on credit to Samuel.
(h) Bought a further 3,000 units on credit for £2.50 each from Basil.
(i) Paid the following expenses from the business bank account:
Interest on loan
Record the above transactions in the T accounts. Prepare a trial balance as at 31 January 20X1.