PROFIT AND LOSS A/C

TO SALARY A/C 184000

TO MISCE EXP 33000
TO ADVERTISEMENT 44000
ADD PAYABLE 35000 79000
TO FIRE INSUR PREM 5000
TO DIWALI EXP 6000
TO ENTERTAINMENT EXP 5000
TO MAHURAT EXP 2100
TO BADDEBTS WRITTENOFF 6900
TO RESERVE FOR LOSES 10000
TO INTEREST ON X'S CAP 4000
TO INTEREST ON BANK LOAN 14000
TO PATENTS 27000
TO DEPRE ON PLANT & MAC 28000
TO PROV FOR GST PAYABLE 13000
NET PROFIT 609000

1026000

COMPUTATION OF INCOME

NET PROFIT P&L A/C 609000

ADD:-
SALARY PAID TO RELATIVE TREATED AS EXCESSIVE 6000
RESERVE FOR LOSSES 10000
INT ON X'S CAP 4000
PATENTS 27000
DEPRECIATION 28000
PROV FOR GST REMAINING 5000
80000
689000
LESS:-
DEPRE ON PATENTS 6750
DEP ON PLANTS & MAC (as per rules) 333000 339750
349250
AND LOSS A/C

BY GROSS PROFIT 886000

BY COMM AND DISC 117000
BY MISCELL RECEIPTS 23000

1026000

TION OF INCOME FROM BUSSINESS