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From the following Trial Balance of M/s Vishal and Vaibhav, you are required to prepare Trading and Profit and Loss Account,

Final Accounts Solution

In the books of M/s Vishal and Vaibhav
For the year ended 31st March, 2013

Question Summary: Prepare Final Accounts using the Trial Balance below.

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Particulars Debit (₹) Credit (₹)
Opening Stock23,500-
Purchases / Sales98,500110,000
Returns--
Wages & Salaries (Trading)14,000-
Import Duty3,100-
Salaries & Wages (P&L)17,000-
Postage & Telegram1,750-
Carriage Outward1,800-
Printing & Stationery4,600-
Plant & Machinery70,000-
Leasehold Premises80,000-
Sundry Debtors / Creditors45,80072,700
Bills Receivable / Payable16,70040,000
Cash in Hand1,850-
10% Bank Loan (from 1/10/12)-60,000
Outstanding Audit Fees-5,900
Capital: Vishal-45,000
Capital: Vaibhav-45,000
TOTAL378,600378,600
Adjustments:
  1. Closing Stock valued at ₹30,000.
  2. Unused: Stamps ₹250, Stationery ₹400.
  3. Leasehold property is for 10 years (w.e.f. 1/10/2012).
  4. Depreciate Plant & Machinery @ 10% p.a.
  5. Mr. Rajan (Debtor) became insolvent, ₹1,500 irrecoverable.

SOLUTION

Trading Account
For the year ended 31st March, 2013
Profit & Loss Account
For the year ended 31st March, 2013
Balance Sheet
As on 31st March, 2013

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