11. From the following Trial Balance of Shubho, prepare Trading and Profit & Loss Accounts for the year ended 31st March, 2024 and Balance Sheet as at that date:
| Heads of Accounts | L.F. | Debit Balances (₹) | Credit Balances (₹) |
|---|---|---|---|
| Land and Building | 50,000 | ||
| Purchases (Adjusted) | 2,07,500 | ||
| Stock (31st March. 2024) | 45,000 | ||
| Wages | 45,300 | ||
| Salaries | 39,000 | ||
| Office Expenses | 15,400 | ||
| Carriage Inwards | 1,200 | ||
| Carriage Outwards | 2,000 | ||
| Discount allowed | 750 | ||
| Discount received | 1,200 | ||
| Bad Debts | 1,200 | ||
| Sales | 3,83,500 | ||
| Capital Account | 1,15,000 | ||
| Chatterji's Loan Ac (Taken on 1st Oct., 2023 @ 18% p.a.) .... | 25,000 | ||
| Insurance | 1,500 | ||
| Commission | 1,500 | ||
| Plant and Machinery | 50,000 | ||
| Furniture and Fixtures | 20,000 | ||
| Drawings | 20,000 | ||
| Sundry Debtors | 40,000 | ||
| Sundry Creditors | 37,350 | ||
| Cash at Bank | 16,000 | ||
| Office Equipments | 12,000 | ||
| Expenses Payable | 3,300 | ||
| Total | 5,66,850 | 5,66,850 |
The following adjustments be made:
(i) Depreciate Land and Building @ 6%, Plant and Machinery @ 10%, Office equipments @ 20% and Furniture and Fixtures @ 15%.
(ii) Create Provision for Doubtful Debts at 2% on Sundry Debtors.
(iii) Insurance includes ₹250 Insurance Premium paid in advance.
(iv) Provide salary to Shubho ₹15,000 p.a.
(v) Outstanding Salaries ₹11,500.
(vi) 10% of the net profit is to be transferred to General Reserve.
T.S.Grewal/2024 Edition/Practical Problems/Q-11
For full question, please refer to the text book T.S.Grewal’s Double Entry Book Keeping-Financial Accounting, Textbook for CBSE Class XI published by Sultan Chand & Sons Pvt. Ltd.
Answer :