From the following information prepare trading and profit and loss account of M/s Indian sports house for the year ending March 31, 2017.

Adjustments
1. Closing stock was Rs. 45,000.
2. Provision for doubtful debts is to be maintained @ 2% on debtors.
3. Depreciation charged on : furniture and fixture @ 5%, plant and Machinery @ 6% and motor car @ 10%.
4. A Machine of Rs. 30,000 was purchased on October 01, 2016.
5. The manager is entitle to a commission of @ 10% of the net profit after charging such commission.

Answer

Gross profit Rs. 1,01,000; Net profit Rs. 68,909; Total balance sheet Rs. 3,43,200; Manager's Commission Rs. 6,891

Explanation

N/a