Majority of the cash payments and receipts made during the year are given below: Cash Receipts Cash Payments Total Cash Collected from Patients 700,000 Cash Paid for Staff Salaries 1 10,000 Interest Received on Government 20,000 Cash Paid for Accounts Payable 300,000 Bonds Sale of Equipment (31/12/2015) 15,000 Cash Paid for Utilities 50,000 Loan Repaid (31/3/2016) 20.000 Doctors Honorarium 140,000 Equipment Purchase (30/9/2015) 30,000 Advance Tax Paid 100,000 Additional Details: 1. NNS provides services to certain patients on a credit basis. During the current financial year, Rs. 300,000 worth of services was provided to such patients on a credit basis and Rs. 310,000 was collected from such patients. Due to poor financial condition of certain patients, Rs. 6,000 was written-off as bad debts in March 2016. Rs. 2,000 worth of previously written-off amounts was collected in January 2016. The firm wishes to maintain a balance of 5% of year-end Accounts Receivable as an allowance for doubtful debts. 2. NNS purchases all inventory of medical supplies on credit. The total purchase in the current financial year amounted to 250,000. The ending balance of inventory of medical supplies was 90,000. 3. The interest on 8% Bank Loan is accrued, but due to a computer glitch, could not be paid till 10" April 2016. The company had to pay a penalty of Rs. 10,000 along with the interest on 10th April 2016 for late payment of interest. The penalty becomes due in the year of default. 4. The equipment has a useful life of 5 years and Building has a useful life of 10 years. The 21/12/2015 was two years old at the beginning of the year and had a