From the following balances extracted from the book of M/s Manju Chawla on March 31, 2010. You are requested to prepare the trading and profit and loss account and a balance sheet as on this date.
Closing Stock was. Rs 2,000.
(a) Interest on drawings @ 7% and interest on capital @ 5%.
(b) Land and machinery is depreciated at 5%.
(c) Interest on investment @ 6%.
(d) Unexpired rent Rs 100.
(e) Charge 5% depreciation on furniture.
Trading and Profit and Loss AccountDr. as on 31 December, 2010 Cr.Balance Sheet as on 31 st March, 2010