Prepare trading and profit and loss account of M/s Sports Equipments for the year ended March 31,2006 and balance sheet as on that date:
| Account Title |
Debit amount |
Credit Amount (Rs.) |
| Opening stock |
50,000 |
- |
| Purchases and sales |
3,50,000 |
4,21,000 |
| Sales returns |
5,000 |
- |
| Capital |
- |
3,00,000 |
| Commission |
- |
4,000 |
| Creditors |
- |
100,000 |
| Bank overdraft |
- |
28,000 |
| Cash in hand |
32,000 |
- |
| Furniture |
1,28,000 |
- |
| Debtors |
1,40,000 |
- |
| Plants |
60,000 |
- |
| Carriage on purchases |
12,000 |
- |
| wages |
8,000 |
- |
| Rent |
15,000 |
- |
| Bad debts |
7,000 |
- |
| Drawings |
24,000 |
- |
| Stationery |
6,000 |
- |
| Travelling expenses |
2,000 |
- |
| Insurance |
7,000 |
- |
| Discount |
5,000 |
- |
| office expenses |
2,000 |
- |
|
85,300 |
85,300 |
Closing stock as on March 31,2006 Rs.2,500
