b38 Illustration 9 From the following Trial balance of Hari and additional information, prepare Trading and Profit & Loss Account for the year ended 31st March, 2017 and a Balance Sheet as on that date. Trial Balance Particulars Dr. () Cr. () Particulars Dr. (3) Cr. (3) Capital 1,00,000 Bad Debt Written off 7,000 Furniture 20,000 - Creditors 1,20,000 Purchases 1,50,000 Drawings 24,000 Debtors 2,00,000 Provision for Bad Interest Earned 4,000 Debts 6,000 Salaries 30,000 Printing & Stationery 8,000 Sales 3,21,000 Insurance 12,000 Purchase Returns 5,000 Opening Stock 50,000 Wages 20,000 Office Expenses 12,000 Rent 15,000 Provision for Depreciation 2,000 Sales Return 10,000 252 Additional Information: (a) Depreciate Furniture by 10% on original cost (b) A provision for doubtful debts is to be created to the extent of 5% on Sundry Debtors (c) Salaries for the months of March 2015 amounting to 3,000 were unpaid. However, salaries included *2,000 paid in advance (d) Insurance amounting to 2,000 is prepaid (e) Provide for outstanding office expenses 78,000 (1) Stock used for private purpose + 6,000 Closing Stock 60,000