an inexperienced book keeper prepared the following trial balance as on mar 31 2010 619038
An inexperienced book keeper prepared the following Trial Balance as on Mar 31, 2010
|
Debit Balance |
Rs |
Credit Balance |
Rs |
|
Capital |
34000 |
Building |
25,000 |
|
10% Loan |
30000 |
Furniture |
5,000 |
|
Creditors |
15000 |
Plant |
20,000 |
|
Bills Receivable |
6000 |
Debtors |
25,000 |
|
Returns Inward |
3000 |
Bills Payable |
5,500 |
|
Carriage Outward |
2000 |
Commission Received |
2,500 |
|
Sales |
15000 |
Opening stock |
15,000 |
|
Wages |
7,500 |
||
|
Salaries |
6,000 |
||
|
Rent and Rates |
5,000 |
||
|
Printing and Stationery |
2,000 |
||
|
Purchases |
40,000 |
||
|
Interest on loan(Paid up to Mar 31, 2010) |
2,500 |
||
|
Returns Inward |
2,500 |
||
|
Carriage Inward |
1,500 |
||
|
1,60,000 |
1,60,000 |
Correct the Trial Balance.
Prepare Trading and P and L account for the year ending on Mar 31, 2010 and the Balance Sheet on that date after considering the following adjustments:
- Closing stock was valued at Rs 20,500
- Write off bad debts of Rs 500
- Outstanding salary Rs 500
- Depreciate building and furniture by 10% p.a.
- Depreciate plant by 15% p.a.