Prepare a trading and profit and loss account of M/s Green Club Ltd. for the year ending December 31, 2005. from the following figures taken from his trial balance :

Adjustments 

1. Depreciation charged on machinery @ 5% p.a.

2. Further bad debts Rs.1,500, discount on debtors @ 5% and make a provision on debtors @ 6%.

3. Wages prepaid Rs.1,000.

4. Interest on investment @ 5% p.a.

5. Closing stock 10,000.

Transcribed Image Text:

Account Title Opening stock Purchases Return inwards Postage and Telegram Salary Wages Rent and Rates Packing and Transport General expense Insurance Debtors Cash in hand Cash at bank Machinery Lighting and Heating Discount Bad debts Investment Amount Rs. 35,000 1,25,000 25,000 600 12,300 3,000 1,000 500 400 4,000 50,000 20,000 40,000 20,000 5,000 3,500 3,500 23,100 3,71,900 Account Title Sales Purchase return Creditors Bills payable Discount Provision for bad debts Interest received Capital Amount Rs. 2,50,000 6,000 10,000 20,000 1,000 4,500 5,400 75,000 3,71,900