Q.14. M/s Wardha Traders is a partnership firm in which, Ramesh and Suresh are partners sharing profits and
Mosses in equal ratio. From the Trial Balance given below and Adjustments, you are required to prepare
Trading and Profit and Loss Account for the year ended on 31" March, 2017 and Balance Sheet as on that
date.
Trial Balance as on 31st March, 2017
Amount
ii.
iii.
iv.
V.
Debit Balance
Stock (1st April 2016) TD
Purchases TD
Sundry Debtors BA
Investment BA
Insurance PD
Plant and machinery BA
Salaries PD
Bad debts PD
Furniture BA
Cash in hand BA
Adjustments:
32,500
44,500
Depreciate furniture at 5% p.a. BA
Insurance * 1,875 is prepaid. PD
1,00,000 Capital A/c:
40,500
Ramesh
10,200
Suresh
15,000
4,850
500
12,500
5,775
2,66,325
Closing stock is valued at 28,000.TC, BA
Goods of 3,000 distributed as a free sample. PD
Provide further Bad debts of 800.PD
Credit Balance
Sundry creditors BL
Sales TC
Amount
₹
45,325
61,000
1,20,000
40,000
2,66,325