Q No.4 Super Sound Company as at 31 Dec, 2015 TITLE OF ACCOUNTS DEBIT CREDIT Cash A/c receivable Plant Selling expenses Prepaid Rent Other expenses Office supplies expense Interest expense Mds. Inventory-Beg Purchases Transportation-in Sales return Equipment Acc. dep-equipment Acc. dep- plant All for bad debts Salaries expenses Marketable securities 145,000 75,000 325,000 12,500 8,500 6,000 3,500 16,000 27,800 275,000 22,000 12,000 500,000 75,000 100,000 12,000 65,000 45,000 Sales revenue Purchases return Purchases discount Commission income A/c payable Capital Short term loan Long term loan Bill payable Retained earning TOTAL 695,000 1,800 4,500 27,000 35,000 222,300 55,000 160,000 22,700 128,000 1,538,300 1,538,300 ADJUSTMENT DATA: 1. Depreciation charged 5% on equipment and 2% on plant book value. 2. Inventory on hand at the end of the year Rs.12,000. 3. Tax rate 10% Required: Income Statement and Balance Sheet