X operates a branch at Delhi. All purchases are made by the Head Office at Madras; goods being charged out to the branch at cost price. All cash received by the branch is remitted to Madras Branch. Petty expenses are paid out of an imprest which is reimbursed by the Head Office from time to time. From the following particulars relating to Delhi branch, you are required to prepare Branch Account (for calculating profit) in the books of the Head Office.

It is required to write-off Plant @ 20% p.a.

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Particulars Balances on 1.1.2017: Stock: 8,000; Petty cash : 800; Plant : * 10,000 Balances on 31.12.2017: Stock Goods sent to branch 7,000 50,000 Particulars Petty expenses paid by branch out of imprest Cash sales during the year Sale of plant on 1.7.2017 (Book value on the date of sale * 900) Expenses paid by Head Office ₹ 700 70,000 800 5,000