Illustration 4: From the following figures extracted from the books of M/s Amal &Vimal 31st Mar, 02 Credits Debit (R) 30,000 1.10 000 2.50,000 55,000 23,000 3,000 10.000 Particulars Opening Stock Purchases Sales Building Wages Carriage inwards Bills payable Furniture Salaries Advertisement Coal and coke Cash at bank Pre paid wages Depreciation fund investment Machinery at cost Rs. 10,000 New) Sundry debtors Bad debts 9000 42,000 24,000 2.000 14,000 1,000 25,000 60,000 20,000 3,000 u31 25,000 24000 Depreciation fund Sundry creditors Rent rate and taxes Trade expense Capital 4,000 4000 Amal Vimal 50,000 40,000 Petty expenses Provision for doubtful debts Gas and water Cash in hand Outstanding rent 4,000 1,000 1.200 800 400 Bank loan 34,600 4,35,000 4,35,000 Adjustment entries: (a) The partners share profit and losses Amal 2/5 and Vimal 3/5 (b) Closing stock Rs. 15,000 () Stock valued at Rs. 10,000 was destroyed by fire but insurance company admitted a claim of 8, 500 only and the claim is not yet paid. d) Wages include Rs. 2,000 for installation of anew machinery on 1st Dec., 2005 (e) Depreciate the machinery at 10% per annum