From the following information, prepare the projected Trading and Profit and Loss Account for the next financial year ending March 31, 1998 and the projected Balance Sheet as on that date: Ratio of Gross Profit Net Profit to Equity Capital Stock Turnover Ratio Average Debt Collection Period Creditors Velocity Current Ratio 25% 10% 5 times 2months 2months 200% Proprietary Ratio 80% (Fixed Assets to Capital Employed) Capital Gearing Ratio (Pref. Shares and Debentures to Equity) 30% General Reserve and Profit and Loss to issued Equity Capital 25% Preference Share Capital to Debentures 2 Cost of Sales consists of 40% for materials and balance for Wages and Overheads. Gross Profit $. 6,00,000. Working notes should be clearly Shown