The following is the Balance Sheet of Sri Govind as on 30th June 2014 :

	Liabilities	~		Assets	~
Capital Account		96,000	Buildings		65,000
Loan		30,000	Furniture		10,000
Creditors		62,000	Motor car		18,000
			Stock		40,000
			Debtors		34,000
			Cash in hand		4,000
			Cash at bank		17,000
		1,88,000			1,88,000

 

A riot occurred on the night of 30th June 2015 in which all books and records were lost. The cashier had absconded with the available cash. Shri Govind gives you the following information :

 

(a)   His sales for the year ended 30th June 2015 were 20% higher than the previous years. He always sells his goods at cost plus 25%. 20% of the total sales for the year ended 30th June 2015 was for cash. There were no cash purchases.

(b)   On 1st July, 2014, the stock level was raised to ~ 60,000 and the stock was maintained at this level throughout the year.

(c)   Collection from Debtors amounted to ~ 2,80,000 of which ~ 70,000 was received in cash. Business expenses amounted to ~ 40,000 of which ~ 10,000 was outstanding on 30th June 2015 and ~ 12,000 was paid by cheques.

(d)   Analysis of the pass books revealed on the following : Payment to creditors ~ 2,75,000; Personal drawings

~ 15,000; Cash deposited in bank ~ 1,43,000; Cash withdrawn from bank ~ 24,000.

(e)   Gross profit as per last year’s audited accounts was ~ 60,000.

(f)    Provide depreciation on building and furniture at 5% and on motor car at 20%.

(g)   The amount defalcated by the cashier may be treated as recoverable from him.

Prepare the Trading and Profit and Loss Account for the year ended 30th June 2015 and Balance Sheet as on that date.