The Profit and Loss Account of Mr. Rahmans's sole-trader ship business results net income of Tk.112,000...

 

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The Profit and Loss Account of Mr. Rahmans's sole-trader ship business results net income of Tk.112,000 for the accounting year ended on June 30, 2017 as follows: RAHMAN TRADERS Profit and Loss Account For the year ended on June 30, 2017 Taka Credit 540,000 Gross Profit 25,000 Interest on Securities Taka Debit Salary Commission 1,600,000 100,000 Gain on sale of 150,000 furniture Rent of Premises 40,000 Fund Embezzlement 24,000 180,000 75,000 Donations Bad debt Insurance Premium 48,000 Depreciation Expense- Equipment 80,000 Provision for income tax 48,000 20,000 Repair expense Penalty and fine 73,000 Bonus 210,000 Royalty 100,000 Interest on Bank Loan 45,000 Household expense 10,000 Net Profit 112,000 Total 1.740.000 Total 1.740.000 Other Information: (a) Salary includes Tk. 130,000 paid to the owner (b) Fund embezzlement occurred during office hour (c) One third of the premise is used as residence by Mr. Rahman (d) Donations include Tk. 120,000 paid to a charitable hospital that is approved under Paragraph I1 A of Part B of the Sixth Schedule of ITO, 1984 (e) Tax depreciation amounts to Tk. 72.000 (f) Of repair expense Tk. 5,000 is spent for the space used for residential purpose (g) The cost of the furniture was Tk. 85,000 and the amount of accumulated depreciation up to date of sale was Tk. 35,000 and sold for Tk. 90,000 Compute the income from business or profession of Mr. Rahman for the year ended on June 30, 2017. N.B. Necessary notes is essential for every solution. The Profit and Loss Account of Mr. Rahmans's sole-trader ship business results net income of Tk.112,000 for the accounting year ended on June 30, 2017 as follows: RAHMAN TRADERS Profit and Loss Account For the year ended on June 30, 2017 Taka Credit 540,000 Gross Profit 25,000 Interest on Securities Taka Debit Salary Commission 1,600,000 100,000 Gain on sale of 150,000 furniture Rent of Premises 40,000 Fund Embezzlement 24,000 180,000 75,000 Donations Bad debt Insurance Premium 48,000 Depreciation Expense- Equipment 80,000 Provision for income tax 48,000 20,000 Repair expense Penalty and fine 73,000 Bonus 210,000 Royalty 100,000 Interest on Bank Loan 45,000 Household expense 10,000 Net Profit 112,000 Total 1.740.000 Total 1.740.000 Other Information: (a) Salary includes Tk. 130,000 paid to the owner (b) Fund embezzlement occurred during office hour (c) One third of the premise is used as residence by Mr. Rahman (d) Donations include Tk. 120,000 paid to a charitable hospital that is approved under Paragraph I1 A of Part B of the Sixth Schedule of ITO, 1984 (e) Tax depreciation amounts to Tk. 72.000 (f) Of repair expense Tk. 5,000 is spent for the space used for residential purpose (g) The cost of the furniture was Tk. 85,000 and the amount of accumulated depreciation up to date of sale was Tk. 35,000 and sold for Tk. 90,000 Compute the income from business or profession of Mr. Rahman for the year ended on June 30, 2017. N.B. Necessary notes is essential for every solution.