Question

Following information is obtained from the books of Vinay, who maintained his books of account under Single Entry System:

I. Receipts for the year ended 31st March, 2018:	₹
From Debtors	88,125
Cash Sales	20,625
Paid by Vinay	12,500
	1,21,250
2. Payments during the year:
New plant bought	3,125
Drawings	7,500
Salaries	5,625
Wages	33,625
Interest paid	375
Rent paid	6,625
Light and power	2,375
Sundry Expenses	10,625
Sundry Creditors	38,125
	1,08,000

Vinay banks all receipts and makes payments by means of cheque.

Assests and Liabilities	As at 31st March,2017 (₹)	As at 31st March, 2018 (Rs)
Sundry Creditors	12.625	12,000
Sundry Debtors	18,750	30,625
Bank	3,125	?
Stock	31,250	15,625
Plant	37,500	36,575

From the above information, prepare Trading and Profit and Loss Account for the year ended 31st March, 2018 and Balance Sheet as on that date.

Answer 1

Trading Account for the year ended March 31, 2018
Dr.			Cr.
Particulars	Amount (₹)	Particulars	Amount (₹)
Opening Stock	31,250	Sales (1,00,000 + 20,625)	1,20,625
Purchases	37,500	Closing Stock	15,625
Light & Power	2,375
Wages	33,625
Gross Profit	31,500
	1,36,250		1,36,250

Profit & Loss Account for the year ended March 31, 2018
Dr.			Cr.
Particulars	Amount (₹)	Particulars	Amount (₹)
Depreciation on Plant	4,050	Gross Profit	31,500
Interest	375
Rent	6,625
Salary	5,625
Sundry Expenses	10,625
Net Profit	4,200
	31,500		31,500

Balance Sheet as on March 31, 2018
Dr.				Cr.
Liabilities		Amount (₹)	Assets	Amount (₹)
Capital	78,000		Bank	16,375
Less: Drawings	7,500		Closing Stock	15,625
Add: Additional Capital	12,500		Debtors	30,625
Add: Net Profit	4,200	87,200	Plant	36,575
Creditors		12,000
		99,200		99,200

Balance Sheet as on April 01, 2017
Dr.			Cr.
Liabilities	Amount (₹)	Assets	Amount (₹)
Creditors	12,625	Bank	37,500
Capital (bal. fig.)	78,000	Closing Stock	18,750
		Debtors	3,125
		Plant	31,250
	90,625		90,625

Bank Account
Dr.			Cr.
Particulars	Amount (₹)	Particulars	Amount (₹)
Balance b/d	3,125	Creditors A/c	38,125
Capital A/c	12,500	Drawings A/c	7,500
Debtors A/c	88,125	Interest A/c	375
Sales A/c	20,625	Light & Power A/c	2,375
		Plant A/c	3,125
		Rent A/c	6,625
		Salaries A/c	5,625
		Sundry Expenses A/c	10,625
		Wages A/c	33,625
		Balance c/d	16,375
	1,24,375		1,24,375

Debtors Account
Dr.			Cr.
Particulars	Amount (₹)	Particulars	Amount (₹)
Balance b/d	18,750	Cash A/c	88,125
Sales A/c (bal.fig.)	1,00,000	Balance c/d	30,625
	1,18,750		1,18,750

Creditors Account
Dr.			Cr.
Particulars	Amount (₹)	Particulars	Amount (₹)
Cash A/c	38,125	Balance b/d	12,625
Balance c/d	12,000	Purchases A/c (bal.fig.)	37,500
	50,125		50,125