Answer
To prepare the Trading and Profit & Loss Account, as well as the Balance Sheet for Ram Lal as of March 31, 2022, we need to follow certain steps.
Let's start with the Trading Account:
Trading Account for the year ending March 31, 2022
| Particulars |
Amount (Rs.) |
|
Particulars |
Amount (Rs.) |
| Opening Stock |
- |
|
Purchases |
3,496,000 |
| Purchases |
3,496,000 |
|
Carriage on Purchases |
2,000 |
| Carriage on Sales |
2,500 |
|
|
|
| Closing Stock |
-3,06,250 |
|
|
|
| |
|
|
|
|
| Total |
3,498,500 |
|
Total |
3,498,500 |
Calculation: Cost of Goods Sold (COGS)=Opening Stock+Purchases+Carriage on Purchases−Closing StockCost of Goods Sold (COGS)=Opening Stock+Purchases+Carriage on Purchases−Closing Stock COGS=0+3,496,000+2,000−(3,06,250)=3,498,500COGS=0+3,496,000+2,000−(3,06,250)=3,498,500
Profit & Loss Account for the year ending March 31, 2022
| Particulars |
Amount (Rs.) |
|
Particulars |
Amount (Rs.) |
| Salaries |
21,000 |
|
Lighting |
1,500 |
| Carriage on Sales |
2,500 |
|
Rates and Taxes |
2,000 |
| Commission |
1,250 |
|
|
|
| |
|
|
|
|
| Total Expenses |
24,750 |
|
Gross Profit |
3,473,750 |
Calculation: Net Profit=Gross Profit−Total ExpensesNet Profit=Gross Profit−Total Expenses Net Profit=3,473,750−24,750=3,449,000Net Profit=3,473,750−24,750=3,449,000
Balance Sheet as of March 31, 2022
Assets:
- Buildings: Rs. 1,35,000
- Furniture: (Rs. 2,500 - 2% depreciation) Rs. 2,450
- Sundry Debtors: Rs. 40,000 - Bad Debts Rs. 30,000 = Rs. 10,000
- Bills Receivable: Rs. 7,500
- Cash in Hand: Rs. 600
- Bank: Rs. 3 (as it is not mentioned in the given information)
Total Assets: Rs. 1,80,553
Liabilities:
- Capital: Rs. 2,00,000
- Bills Payable: Rs. 50,000
- Loan: Rs. 1,00,000
- Sundry Creditors: Rs. (60,000 - Commission Rs. 1,250) = Rs. 58,750
Total Liabilities: Rs. 4,08,750
Calculation: Total Assets=Buildings+Furniture+Sundry Debtors+Bills Receivable+Cash in Hand+BankTotal Assets=Buildings+Furniture+Sundry Debtors+Bills Receivable+Cash in Hand+Bank Total Liabilities=Capital+Bil
Total Liabilities=Capital+Bills Payable+Loan+Sundry Creditors
Please note that the values for Furniture and Sundry Debtors have been adjusted for depreciation and bad debts, respectively. Also, the Bank balance is assumed to be Rs. 3, as the specific amount is not provided in the given information.
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