Trial Balance as of March 31, 2024
Debit Credit
Account Name
(₹) (₹)
Capital 5,00,000
Drawings 50,000
Cash 75,000
Bank 1,50,000
Debtors 1,20,000
Creditors 80,000
Stock (Opening) 2,00,000
Purchases 4,50,000
Sales 7,00,000
Wages 40,000
Salaries 60,000
Carriage Inward 10,000
Rent 25,000
Office Expenses 15,000
Furniture 50,000
Machinery 3,00,000
Accumulated Depreciation 70,000
Interest on Loan 12,000
Loan from Bank 2,00,000
Bills Receivable 30,000
Bills Payable 50,000
Insurance Premium 5,000
Commission Received 10,000
Provision for Doubtful Debts 5,000
25,000
Totals | 16,92,000 | 16,92,000 |
Adjustments
1. Closing stock is valued at ₹2,50,000.
2. Depreciate machinery by 10% and furniture by 5%.
3. Outstanding wages ₹5,000.
4. Prepaid rent ₹2,000.
5. Create a 2% provision for doubtful debts on debtors.
6. Insurance premium includes ₹1,000 for the next year.
7. Interest on the loan is outstanding ₹3,000.
8. Commission received in advance ₹2,000.
Trading Account for the Year Ended March 31, 2024
Amount Amount
Particulars Particulars
(₹) (₹)
Opening Stock 2,00,000 Sales 7,00,000
Purchases 4,50,000 Closing Stock 2,50,000
Carriage Inward 10,000
Wages 40,000
Add: Outstanding Wages 5,000
7,05,000 9,50,000
Gross Profit c/d 2,45,000
Profit & Loss Account for the Year Ended March 31, 2024
Amount Amount
Particulars Particulars
(₹) (₹)
Salaries 60,000 Gross Profit b/d 2,45,000
Rent 25,000
Less: Prepaid Rent 2,000
Office Expenses 15,000
Depreciation on Machinery 30,000
Depreciation on Furniture 2,500
Interest on Loan 12,000
Add: Outstanding Interest 3,000
Provision for Doubtful Debts 2,400
Insurance Premium 5,000
Less: Prepaid Insurance 1,000
Commission Received 10,000
Less: Advance Commission 2,000
Net Profit c/d 98,100 2,45,000
Balance Sheet as of March 31, 2024
Amount Amount
Liabilities Assets
(₹) (₹)
Capital 5,00,000 Cash 75,000
Add: Net Profit 98,100 Bank 1,50,000
Less: Drawings 50,000 Debtors 1,20,000
Less: Provision 2,400
5,48,100 1,17,600
Loan from Bank 2,00,000 Bills Receivable 30,000
Creditors 80,000 Furniture 47,500
Bills Payable 50,000 Machinery 2,70,000
Outstanding Wages 5,000 Closing Stock 2,50,000
Outstanding Interest 3,000 Prepaid Rent 2,000
Amount Amount
Liabilities Assets
(₹) (₹)
Advance Commission 2,000 Prepaid Insurance 1,000
8,88,100 8,88,100
