NNS Hospitals Ltd$.$ is a publicly owned company which owns a chain of hospitals. The Balance Sheet of NNS as of $31/3/2015$ is given below:

Liabilities and Owners Equity

Accounts Payable

$120,000$

Salaries Payable

$10,000$

Provision for Taxes $(2014-15)$

$90,000$

$8\%$ Bank Loan

$160,000$

Share Capital

$400,000$

Share Premium

$200,000$

Retained Earnings

$20,000$

TOTAL

$1,000,000$

Assets

Cash

$80,000$

Inventories of Medical Supplies

$120,000$

Accounts Receivable

$100,000$

Less: Allowance for Doubtful Debts

$-5,000$

$95,000$

Advance Taxes Paid $(2014-15)$

$95,000$

Prepaid Insurance

$20,000$

Investments in $10\%$ Government Bonds

$200,000$

Land

$150,000$

Building

$200,000$

Less: Accumulated Depreciation

$-20,000$

$180,000$

Equipment

$100,000$

Less: Accumulated Depreciation

$-40,000$

$60,000$

TOTAL

$1,000,000$

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

$110,000$

Interest Received on Government Bonds

$20,000$

Cash Paid for Accounts Payable

$300,000$

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 $10$th April $2016.$ The company had to pay a penalty of Rs$.10,000$ along with the interest on $10$th 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 equipment that was sold on $31/12/2015$ was two years old at the beginning of the year and had a historical cost of Rs$.20,000.$

$5.$ Salaries for the last two weeks of March $2015$ will be paid on $5$th April $2016.$ Such salaries amounted to Rs$.15,000.$ Salaries payable for previous years were paid off in the current year.

$6.$ The prepaid insurance is valid for another $15$ months starting from $1/4/2015.$

$7.$ Tax assessment for the year $2014-15$ was completed in the current year and the tax was assessed to be Rs$.100,000.$ Shortfall $($refund$),$ if any, was paid $($received$)$ during the year $2015-16.$ Provision for taxes for the current year is $25\%$ of Profit before Tax.

Based on the above information, prepare the Balance Sheet, and Income Statement for the year ended on $31/3/2016.$