Q. Following Trial Balance has been extracted from the books of Prasad on 31st March, 2019:
Particulars | Dr. (₹) | Particulars | Cr. (₹) |
Machinery | 4,00,000 | Capital | 9,00,000 |
Cash at Bank | 1,00,000 | Sales | 16,00,000 |
Cash in Hand | 50,000 | Sundry Creditors | 4,50,000 |
Wages | 1,00,000 | Interest Received | 30,000 |
Purchases | 8,00,000 | | |
Stock on 1st April, 2018 | 6,00,000 | | |
Sundry Debtors | 4,40,000 | | |
Bills Receivable | 2,90,000 | | |
Rent | 45,000 | | |
Commission | 25,000 | | |
General Expenses | 80,000 | | |
Salaries | 50,000 | | |
| 29,80,000 | | 29,80,000 |
| | | |
Additional Information:
(i) Outstanding salaries were ₹ 45,000.
(ii) Depreciate Machinery at 10%.
(iii) Wages outstanding were ₹ 5,000.
(iv) Rent prepaid ₹ 10,000.
(v) Provide for interest on capital @ 5% per annum.
(vi) Stock on 31st March, 2019 ₹ 8,00,000.
Prepare Trading and Profit and Loss Account for the year ended 31st March, 2019 and Balance Sheet as at that date.