7)    A ltd was registered with an authorized capital of Rs.6,00,000 in equity shares of Rs.10 each.  The following is its Trail Balance on 31 March 2008. Particulars    Debit Balance Rs.    Credit Balance Rs. Goowill    25000     Cash    750     Bank    39900     Purchases    185000     Prelimiary Expenses    5000     Share capital        400000 12% Debentures        300000 P&L A/C (Cr.)        26250 Calls-in-arrears    7500     Premises    300000     Plant & Machinery    330000     Interim Dividend    39250     Sales        415000 Stock (1-4-2007)    75000     Furniture & Fixtures    7200     Sundry Debtors    87000     Wages    84865     General Expenses    6835     Freight and Carriage    13115     Salaries    14500     Directors Fees    5725     Bad debts    2110     Debenture Interest paid    18000     Bills Payable        37000 Sundry Creditors        40000 General Reserve        25000 Provision for bad debts        3500 Total    12,46,750    1246750 Prepare Profit & Loss Account, Profit & Loss Appropriation A/C and Balance sheet in proper form after making the following adjustments: •    Depreciate Plant and Machinery by 15% •    Write off Rs.500 from preliminary expenses •    Provide for 6 months interest on debentures. •    Leave bad and doubtful debts provision at 5% on sundry debtors •    Provide for income tax at 50% •    Stock on 31-3-2008 was Rs.95,000 •    A Provision for corporate dividend tax @ 10% is also made.

Quickbooks Online Accounting
3rd Edition
ISBN:9780357391693
Author:Owen
Publisher:Owen
Chapter6: Investing And Financing Activities
Section: Chapter Questions
Problem 4.10C
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7)    A ltd was registered with an authorized capital of Rs.6,00,000 in equity shares of Rs.10 each.  The following is its Trail Balance on 31 March 2008.

Particulars    Debit Balance Rs.    Credit Balance Rs.
Goowill    25000    
Cash    750    
Bank    39900    
Purchases    185000    
Prelimiary Expenses    5000    
Share capital        400000
12% Debentures        300000
P&L A/C (Cr.)        26250
Calls-in-arrears    7500    
Premises    300000    
Plant & Machinery    330000    
Interim Dividend    39250    
Sales        415000
Stock (1-4-2007)    75000    
Furniture & Fixtures    7200    
Sundry Debtors    87000    
Wages    84865    
General Expenses    6835    
Freight and Carriage    13115    
Salaries    14500    
Directors Fees    5725    
Bad debts    2110    
Debenture Interest paid    18000    
Bills Payable        37000
Sundry Creditors        40000
General Reserve        25000
Provision for bad debts        3500
Total    12,46,750    1246750

Prepare Profit & Loss Account, Profit & Loss Appropriation A/C and Balance sheet in proper form after making the following adjustments:

•    Depreciate Plant and Machinery by 15%
•    Write off Rs.500 from preliminary expenses
•    Provide for 6 months interest on debentures.
•    Leave bad and doubtful debts provision at 5% on sundry debtors
•    Provide for income tax at 50%
•    Stock on 31-3-2008 was Rs.95,000
•    A Provision for corporate dividend tax @ 10% is also made.

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