HMT Ltd. Pune has an Authorised and Subscribed Capital of Rs. 6,00,000 divided into 6.000 equity shares of Rs. 100 each. The following is the Trial Balance as on 31" March, 2014.
Particulars
Debit
Credit
Rs.
Rs.
Share Capital
Freehold Premises
600.000
Machinery
180,000
458,000
Fumiture
Loose Tools
18,500
Preliminary Expenses
35,000
Calls in Arrears
15,000
Cash in Hand
10,000
Investments
12,000
Bills Receivables
140,000
Purchases and Returns
50,400
Sales and Returns
10,00,000 10.200
17,200 11.50.000
Sundry Debtors
84,000
Interm Dividend
General Repairs
15.000
3,900
General Expenses
8.700
Stock (1.4.2018
175,000
Advertisements
10,500
Audit Fees
8,000
Goodwill
68,000
Wages
87.700
Carriage Inward
10,600
Insurance Premium
6,400
Reserve Fund
160.000
Sundry Creditors
100,000
6% Debentures
342.000
Profit and Loss A/C (1.4.2018/
26.000
Rent Received
15,800
Deposits
10.000
24,14,000 24,14,000
You are required to prepare Trading, Profit & Loss Account and Profit & Loss Appropriation Account for
the year ended 31" March, 2019 and a Balance Sheet on that date in the prescribed form under the
Companies Act, 2013
The following adjustments have also to be made :
a) Stock as on 31" March, 2019 was Rs. 2,25,000.
b) Prepaid Insurance Premium Rs. 1,400.
c) The provision for doubtful debts to be made at 5% on Sundry Debtors.
d) Provide depreciation at 5% on Machinery, 20% on Loose Tools and 10% on Furniture.
e) Provision of Rs. 5,000 is to be made for taxation.