Following Trial Balance is extracted from the books of Nikesh as at 31st March, 2019:
Prepare Trading and Profit and Loss Account for the year ended 31st March, 2019 and balance sheet as at that date after taking into account the following adjustments :
(i)Stock on 31st March, 2019 was valued at cost at rs 14,000. Its Net Realisable value (Market Value) was 15,000.
(ii) Plant and Machinery includes a machine purchased for 20,000 on 1st October, 2018.
(iii) Outstanding liabilities for Wages rs 1,200 and Salaries rs 2,800. These are not subject to GST.
(iv) Depreciation `@ 5%` p.a. on Written Down value is to be provided on fixed assests.
(v) Write off bad debts rs 1,500.
(vi) Insurance premium paid in advance rs 400.
(vii) Accrued commission rs 500. CGST and SGST is levied `@ 6%` each.