From the following Trial Balance and other information, prepare Trading and Profit and Loss Account for the year ending 31st December 2008 and Balance Sheet as on that date.

Dr. Cr.
Rs. Rs.
Sundry Debtors 32,000 Stock (1st January 2007) 22,000 Cash in hand 35 Cash at Bank 1,545 Plant and Machinery 17,500 Sundry Creditors 10,650 Trade Expenses 1,075 Sales 1,34,500 Salaries 2,225 Carriage Outwards 400 Rent 900 Bills payable 7,500 Purchase 1,18,870 Discount 1,100 Business Premises 34,500 Capital __________ 79,500 Rs. 2,32,150 Rs. 2,32,150 The Stock on 31st December 2008 was Rs. 12,450. Rent was unpaid to the extent of Rs.
85, Rs. 150 were Outstanding for Trade Expenses; Rs. 400 are to be written off as bad debts out of the above debtors; and 5% is to be provided for doubtful debtors.
Depreciate plant and Machinery by 10% and Business Premises by 2%.