On 31st March, 2023 the following Trial Balance was extracted from the books of Shyam
On 31st March, 2023 the following Trial Balance was extracted from the books of Shyam:
| Particulars | Dr. (₹) | Particulars | Cr. (₹) |
|
Drawings Machinery Furniture Sundry Debtors Purchases Wages Cash at Bank Salary Repairs Opening Stock Rent Miscellaneous Expenses Bad Debts Carriage Inwards Shiv Mohan |
18,000 1,20,000 26,000 36,000 20,000 8,000 26,000 8,000 1,900 16,000 4,500 11,500 5,000 1,600 20,000 |
Sundry Creditors Sales Interest Commission Capital |
40,000 42,000 13,500 17,000 2,10,000 |
| Â | 3,22,500 | Â | 3,22,500 |
Prepare Trading and Profit & Loss Account for the year ending 31st March, 2023 and Balance Sheet as on that date after taking into account the following adjustments:
(i) Closing Stock was valued at ₹ 16,000 (At cost). its Net Realisable Value (Market Value) was determined at ₹ 20,000.
(ii) Depreciation is to be provided on machinery @ 10% and furniture @ 15%.
(iii) ₹ 1,500 are due for wages.
(iv) Prepaid rent ₹ 1,500.
(v) Accrued interest ₹ 1,500.
(vi) Commission Received in Advance ₹ 2,000.
(vii) Further Bad Debts ₹ 2,000.
(viii) Provide Manager’s Commission at 10% on net profit before charging such commission.
(ix) Remuneration of ₹ 20,000 paid to Shiv Mohan, a temporary employee, stands debited to his Personal Account and it is to be corrected.
Anurag Pathak Changed status to publish October 26, 2023
