The following is the trial balance of Naveen Ltd. as on 31 March 2011:(Rs. in 000’s)
|
Particulars |
Rs. | Rs. |
|
Stock: 1 April 2010 |
15,000 |
— |
|
Purchase Returns |
— |
2,000 |
|
Purchases & Sales |
49,000 |
68,000 |
|
Wages |
6,000 |
— |
|
Discount |
— |
600 |
|
Carriage Inwards |
190 |
— |
|
Furniture & Fittings |
3,400 |
— |
|
Salaries |
1,500 |
— |
|
Rent |
800 |
— |
|
Sundry Expenses |
1,410 |
— |
|
Profit & Loss Appropriation A/c (31 March 2010) |
— |
3,180 |
|
Dividend Paid for 2009-10 |
1,800 |
— |
|
Corporate Dividend Tax Paid |
180 |
— |
|
Equity Share Capital |
— |
20,000 |
|
Debtors and Creditors |
5,500 |
3,500 |
|
Plant & Machinery |
5,800 |
— |
|
Cash at Bank |
9,240 |
— |
|
General Reserve |
— |
3,100 |
|
Patents & Trademarks |
960 |
— |
|
Bills Receivable & Bills Payable |
1,000 |
1,400 |
|
1,01,780 |
1,01,780 |
Prepare trading account, profit & loss A/c, profit & loss appropriation A/c for the year ended 31 March 2011 and balance sheet at that date. Take into consideration the following adjustments:
- Stock on 31 March 2011 was valued at Rs.1,58,48,000
- Make a provision for income tax @35%
- Depreciation plant & machinery @15%; furniture & fitting @10% and patents and trademarks @5%
- On 31 March 2011, outstanding rent amounted to Rs.1,60,000 while outstanding salaries totaled Rs.1,30,000
- Provide managerial remuneration @10% of the net profits before tax but after such managerial remuneration
- The directors propose a dividend @15% p.a. for the year ended 31 March 2011 after the minimum transfer to general reserve as required by law
- Make a provision for corporate dividend tax @10%