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19.22 Double Entry Book Keeping—CBSE XI

5. Following is the Trial Balance of Mr. Prem Prakash on 31st March, 2024:

Particulars Dr. (`) Cr. (`)
Plant and Machinery ....................................................................................................................................... 5,50,000 ...
Fixtures and Fittings ....................................................................................................................................... 17,200 ...
Prem Prakash’s Capital ....................................................................................................................................... ... 9,32,300
Factory Fuel and Power ....................................................................................................................................... 5,420 ...
Office Salaries ....................................................................................................................................... 37,450 ...
Sales ....................................................................................................................................... ... 12,61,770
Creditors ....................................................................................................................................... ... 2,91,020
Purchases Return ....................................................................................................................................... ... 34,720
Factory Lighting ....................................................................................................................................... 3,920 ...
Travelling Expenses ....................................................................................................................................... 9,250 ...
Carriage on Sales ....................................................................................................................................... 9,600 ...
Cash at Bank ....................................................................................................................................... 22,450 ...
Cash in Hand ....................................................................................................................................... 680 ...
Sundry Debtors ....................................................................................................................................... 4,78,000 ...
Purchases ....................................................................................................................................... 8,32,900 ...
Wages ....................................................................................................................................... 99,150 ...
Rent and Taxes ....................................................................................................................................... 17,650 ...
Office Expenses ....................................................................................................................................... 27,780 ...
Carriage Inwards ....................................................................................................................................... 8,970 ...
Discount ....................................................................................................................................... 4,220 ...
Drawings ....................................................................................................................................... 68,200 ...
Stock on 1st April, 2023 ....................................................................................................................................... 2,17,250 ...
Manufacturing Expenses ....................................................................................................................................... 26,800 ...
Sales Return ....................................................................................................................................... 74,220 ...
Insurance ....................................................................................................................................... 5,700 ...
Input IGST ....................................................................................................................................... 15,000 ...
Output CGST ....................................................................................................................................... ... 6,000
Output SGST ....................................................................................................................................... ... 6,000
Total 25,31,810 25,31,810

Taking into account the following adjustments, prepare Trading and Profit & Loss Account and
Balance Sheet as at 31st March, 2024:
(a) Depreciation: 5% on Plant and Machinery and 10% on Fixtures and Fittings.

(b) Create Provision for Doubtful Debts @ 2½% on Sundry Debtors.
(c) Rent Outstanding for March, 2024 ` 1,500 plus CGST and SGST @ 6% each.

(d) Insurance unexpired on 31st March, 2024 ` 700.
(e) Outstanding Wages and Salaries were ` 8,000 and ` 3,500 respectively.
(f) Stock on 31st March, 2024 was ` 1,65,800.
[Ans.: Gross Profit—` 1,85,660; Net Profit—` 28,540; Balance Sheet Total—` 11,96,840.]

[Hint: Input IGST will have a balance of ` 3,180.]