subject accounting

Q#2 The Trial Balance of Lahore Ltd as at 31 December was as follows (10) Description Debit Serial No Credit 1 100,000 50000 2 3 30000 4 130000 Capital Bank Loan Long Term Loan (10% interest) Freehold building at cast Machinery at cost Provision for Depreciation of machinery 31" December 2004 Stock in Trade 31 December 2004 S5000 6 20500 7 22642 110841 8 Purchases 9 10 3580 II 12921 E- 12 13 14 IS 962 16 17 18 19 12112 20 Sales 261942 Rent & Rates Administration Expenses Manufacturing Wages 67242 Office Salaries 21148 Bad Debts 1026 Provision for Doubtful Debts 31" December 2004 Director Salaries 10000 Interest 1500 Debtors 28668 Creditors Bank Balance 25481 Profit & Loss Account 31 December 2004 Total You are given the following additional information Stock in trade 31" December 2005 Rs. 20246. Rates Paid in Advance 31" December 2005 Rs. 150. Administration Expenses due at 31 December 2005 Rs 624. Provision for Doubtful Debts at 31" December 2005 to be Rs. 1005. Depreciation is to be charged on machinery at the annual rate of 10% of cost Interest for the half year to 31" December 2005 was paid on 1" January 2006. Required: A Trading & Profit & Loss Account for 2005 and a balance sheet at 31 December 2005 21 14533 22 490049 490049