Pankaj and Bindas are partners sharing profits in the ratio of their capital. Their Trial Balance as on 31.03.1997 is as under.


Trial Balance as on 31.3.1997 is as under
Debit Balance
Amount
Credit Balance
Amount
Land and Building
Plant and  Machinery
Purchases
Wages
Opening Stock
Carriage Outward
Sundry Debtors
Interest on Loan
Prepaid taxes
Salary
Commission
Loss by fire
Travelling Expenses
Electricity
Pankaj’s Drawings
Bindas’s Drawings
Cash on hand
Sales Returns 
1,00,000
30,000
1,20,000
3,500
10,000
400
25,000
250
200
4,500
700
2,000
3.400
650
2,000
3,000
10,000
2,000
Pankaj’s Capital
Bindas’s Capital
Bills Payable
Creditors
Outstanding commission
10% Loan (taken on 1.7.96)
Sales
Discount
Commission
Reserve for bad debts
General Reserve
30,000
50,000
6,000
12,000
500
10,000
2,00,000
1,100
4,000
3,000
1,000
3,17,600
3,17,600

Prepare Trading and Profit and loss A/c for the year ended 31st March 1997 and the Balance sheet as on that date after taking into account the following adjustments.
1.   Closing stock cost price Rs. 20,000 and Market price is less than the cost price by 5000.
2.   Goods distributed as free samples Rs. 1,000.
3.   Purchase returns of Rs. 2,000 on 30th March, 1997 have not been recorded in the books.
4.   Wages included Rs. 1,000 paid for installation of Plant and Machinery.
5.   Bills payable include a dishonoured bill of Rs. 1,000


83500
78200
57325-95875
181200
GROSS PROFIT
NET PROFIT
PARTNERS CAPITAL ACCOUNT BALANCE
BALANCE SHEET TOTAL