Following balances are taken from the books of Niranjan. Prepare Trading and Profit and Loss Account and Balance Sheet for the year ended 31st March 2019.

Adjustments:
(i) Closing Stock Rs 7,50,000.
Depreciate Machinary by `10%` and Furniture by `20%`.
(iii) Wages Rs 50,000 and salaries Rs 20,000 are outstanding .
(iv) Write off Rs 50,000 as further Bad debts and create `5%` Provision for Doubtful Debts. Also create a reserve for discount on Debtors `@ 2%`.
(v) Investments were made on 1st July 2018 and no interest has been received so far.

Answer

Gross Profit -Rs 12,20,000; Net Profit -Rs 7,38,350; Balance Sheet Total - Rs 19,96,350.

Explanation

NA