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j14 Illustration 4: Following is the trial balance of Amir Khan as on 31 March, 2010. Particulars Dr. Rs. Cr. Rs. Capital Account 80,000 Drawing
j14 Illustration 4: Following is the trial balance of Amir Khan as on 31 March, 2010. Particulars Dr. Rs. Cr. Rs. Capital Account 80,000 Drawing Account 6,000 Stock (01/04/2009) 45,000 Purchases 2,60,000 Sales 3.10,000 Furniture 10.000 Sundry Debtors 40,000 Freight and Octroi 4,600 Trade Expenses 500 Salaries 5,500 Rent 2,400 Advertisement Expenses 5,000 Insurance Premium 400 Commission Discount 200 Bad debts 1,600 Creditors 20,900 Cash in hand 5,200 Bank 5,800 Goodwill (at cost) 20,000 4,12,200 4,12,200 1,300 Adjustments - a) Stock on 31" March, 2010 was valued at Rs.53,000/- b) Salaries have been paid only for 11 months. c) Unexpired insurance included in the figure of Rs.400/- appearing in trial balance is Rs.100/- d) Commission earned but not yet received amounting to Rs.422- is to be recorded in books of account. e) Furniture is depreciated @ 10% per annum. 1) Only 1/4" of advertising expenses are to be written off. Prepare Trading and Profit and Loss Account for the year ended 31" March, 2010 and balance sheet as on that date
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