The following balances have been extracted from the trial balance of M/s Kolkata Ltd. You are required to prepare the trading and profit and loss account on dated March 31, 2017.
Also prepare balance sheet on that date.

Adjustments
1. Outstanding salaries Rs. 100. Rent and taxes Rs. 200, Wages Rs. 100.
2. Unexpired insurance Rs. 500.
3. Commission is received in advances Rs. 50.
4. Interest Rs. 500 is to be received on bank deposits. ltbr. 5. Interest on bank overdraft Rs. 750.
6. Depreciation on furniture @ 10%.
7. Closing stock Rs. 9,000.
8. Further bad debts Rs. 200 New provision @ 5% on debtors.
9. Apprenticeship premium received in advance Rs. 100.
10. Interest on drawings @ 6%.

Explanation

Books of Kolkata Ltd.
Trading and Profit and Loss Account for the year ended as at March 31, 2017

Balance Sheet as at March 31, 2017