Mr. Ajay's trial balance is as follows. Trial Balance for the year ended 31st March, 2017 Amt

Mr. Ajay's trial balance is as follows. 

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Trial Balance for the year ended 31st March, 2017 Amt Debit Balances To Opening Stock To Purchases To Wages To Investment To Carriage outwards To Printing and Stationary To Insurance To Salary To Postage and telegram To Machinery To Furniture To Debtors To Bills Receivable To Cash at Bank To Advertisement To Bad debts To Carriage inwards Adjustments : Credit Balances 15,000 By Capital 45,700 By Bills Payable 9,900 By Outstanding Salaries 3,500 By Sales 4,600 By Creditors 3,400 750 10,000 700 26,800 6,400 25,000 4,000 6,000 1,000 250 4,500 1,67,500 By Bank Overdraft Amt 65,000 6,000 1,700 5) Depreciate machinery by 10% and furniture by 15% 6) Outstanding expenses: wages 2,100. 79,800 12,000 3,000 1,67,500 1) Closing stock →40,200 2) Goods destroyed by fire 3) Prepaid insurance premium 250 4) On 1st April 2016 purchased machinery and paid transport, octroi 1,000 but included in carriage inwards. 4,000,insurance company admitted claim for ₹ 3,200 From the above information and adjustment prepare Trading and Profit and Loss account for the year ended 31st March, 2017 and Balance Sheet on that date. (GP=47,800, NP=22,810, B/s =1,12,610) Trial Balance for the year ended 31st March, 2017 Amt Debit Balances To Opening Stock To Purchases To Wages To Investment To Carriage outwards To Printing and Stationary To Insurance To Salary To Postage and telegram To Machinery To Furniture To Debtors To Bills Receivable To Cash at Bank To Advertisement To Bad debts To Carriage inwards Adjustments : Credit Balances 15,000 By Capital 45,700 By Bills Payable 9,900 By Outstanding Salaries 3,500 By Sales 4,600 By Creditors 3,400 750 10,000 700 26,800 6,400 25,000 4,000 6,000 1,000 250 4,500 1,67,500 By Bank Overdraft Amt 65,000 6,000 1,700 5) Depreciate machinery by 10% and furniture by 15% 6) Outstanding expenses: wages 2,100. 79,800 12,000 3,000 1,67,500 1) Closing stock →40,200 2) Goods destroyed by fire 3) Prepaid insurance premium 250 4) On 1st April 2016 purchased machinery and paid transport, octroi 1,000 but included in carriage inwards. 4,000,insurance company admitted claim for ₹ 3,200 From the above information and adjustment prepare Trading and Profit and Loss account for the year ended 31st March, 2017 and Balance Sheet on that date. (GP=47,800, NP=22,810, B/s =1,12,610)

Answer rating: 100% (QA)

SOLUTION Trading and profit and loss account For the year ending 31st ... View the full answer