7) A ltd was registered with an authorized capital of Rs.6,00,000 in equity shares of Rs.10 each. The following is its Trail Balance on 31 March 2008. Particulars Debit Balance Rs. Credit Balance Rs. Goowill 25000 Cash 750 Bank 39900 Purchases 185000 Prelimiary Expenses 5000 Share capital 400000 12% Debentures 300000 P&L A/C (Cr.) 26250 Calls-in-arrears 7500 Premises 300000 Plant & Machinery 330000 Interim Dividend 39250 Sales 415000 Stock (1-4-2007) 75000 Furniture & Fixtures 7200 Sundry Debtors 87000 Wages 84865 General Expenses 6835 Freight and Carriage 13115 Salaries 14500 Directors Fees 5725 Bad debts 2110 Debenture Interest paid 18000 Bills Payable 37000 Sundry Creditors 40000 General Reserve 25000 Provision for bad debts 3500 Total 12,46,750 1246750 Prepare Profit & Loss Account, Profit & Loss Appropriation A/C and Balance sheet in proper form after making the following adjustments: • Depreciate Plant and Machinery by 15% • Write off Rs.500 from preliminary expenses • Provide for 6 months interest on debentures. • Leave bad and doubtful debts provision at 5% on sundry debtors • Provide for income tax at 50% • Stock on 31-3-2008 was Rs.95,000 • A Provision for corporate dividend tax @ 10% is also made.
7) A ltd was registered with an authorized capital of Rs.6,00,000 in equity shares of Rs.10 each. The following is its Trail Balance on 31 March 2008.
Particulars Debit Balance Rs. Credit Balance Rs.
Goowill 25000
Cash 750
Bank 39900
Purchases 185000
Prelimiary Expenses 5000
Share capital 400000
12% Debentures 300000
P&L A/C (Cr.) 26250
Calls-in-arrears 7500
Premises 300000
Plant & Machinery 330000
Interim Dividend 39250
Sales 415000
Stock (1-4-2007) 75000
Furniture & Fixtures 7200
Sundry Debtors 87000
Wages 84865
General Expenses 6835
Freight and Carriage 13115
Salaries 14500
Directors Fees 5725
Debenture Interest paid 18000
Bills Payable 37000
Sundry Creditors 40000
General Reserve 25000
Provision for bad debts 3500
Total 12,46,750 1246750
Prepare Profit & Loss Account, Profit & Loss Appropriation A/C and Balance sheet in proper form after making the following adjustments:
• Depreciate Plant and Machinery by 15%
• Write off Rs.500 from preliminary expenses
• Provide for 6 months interest on debentures.
• Leave bad and doubtful debts provision at 5% on sundry debtors
• Provide for income tax at 50%
• Stock on 31-3-2008 was Rs.95,000
• A Provision for corporate dividend tax @ 10% is also made.
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