An inexperienced book keeper prepared the following Trial Balance as on Mar 31, 2010
|
Debit Balance |
Rs |
Credit Balance |
Rs |
|
Capital |
34.000 |
Building |
25 |
|
10% Loan |
30.000 |
Funiture |
5 |
|
Creditors |
15.000 |
Plant |
20 |
|
Bills Receivable |
6.000 |
Debtors |
25 |
|
Returns Inward |
3.000 |
Bills Payable |
5,500 |
|
Carriage Outward |
2,000 |
Commission Received |
2,500 |
|
Sales |
75,000 |
Opening stock |
15 |
|
Wages |
7,500 |
||
|
Salaries |
6 |
||
|
Rent and Rates |
5 |
||
|
Printing and Stationery |
2 |
||
|
Purchases |
40 |
||
|
Interest on loan |
|||
|
(Paid up to Mar 31. 2010) |
2,500 |
||
|
Returns Inward |
1,500 |
||
|
Carriage Inward |
1,500 |
||
|
1.60.000 |
1,60,000 |
Correct the Trial Balance.
Prepare Trading and P and L account for the year ending on Mar 31, 2010 and the Balance Sheet on that date after considering the following adjustments:
- Closing stock was valued at Rs 20,500
- Write off bad debts of Rs 500
- Outstanding salary Rs 500
- Depreciate building and furniture by 10% p.a.
- Depreciate plant by 15% p.a.