SANJAY INDUSTRIES LTD

Balance Sheet and Income Statement

The following is the trial balnce of Sanjay Industries Ltd as on 31st March 200

ACCOUNTS

Stock 1st April 2008

Sales

Wages

Share Capital (Authorised Capital 2,00,000 shares of Rs.10each)

Discount

Purchases

Carriage Inward

Purchases Returns

Patents & Trademarks

Salaries

Bills Receivables

Sundry expenses

Bills payable

Rent

Debtors & Creditors

 Plant & Machinery

Furniture & Fittings

Cash at Bank

General Reserve

Profit & Loss account , 31st March 2008

Further Information:

1 Outstanding rent amounted to Rs.7,200 while outstanding salaries Rs.8,100 at the end of the year.

2 Stock on 31st March 2009 was valued at Rs.7,92,000

3 Depreciate Plant & Machinery @14% and Furniture & Fittings @ 18%.

4 Amortise Patents & Trademarks @ 5%

(Amortisation means to treat 5% as expenses and the balance as Assets)

5 Provide for managerial remuneration @ 10% of the net profits before tax.

6 Make a provision for tax at 35%

7 The Board of Directors proposes a dividend @ 10% for the year ended 31st March 2009 after transfer
to General Reserve @ 5% of profits after tax.

REQUIRED:

1 Profit & Loss Account for the year ended 31st March 2009.

2 Profit & Loss Appropriation Account for the year ended 31st March 2009.

3 Balance Sheet as on 31st March 2009.

4 Prepare the above statements in the Horizontal format first and then in the Vertical format.
as on 31st March 2009

Dr(Rs) Cr(Rs)

6,75,000

30,60,000

2,70,000

9,00,000

27,000

22,05,000

8,550

90,000

43,200

67,500

45,000

63,450

63,000

36,000

2,47,500 1,57,500
 1,53,000

4,15,800

1,39,500

54,000

44,91,000 44,91,000

end of the year.

2009 after transfer

 VERTICAL FORM OF BALANCE SHEET

Name of the Company………………………..

Balance Sheet as at………………………….

Schedule No

1 Sources of Funds

(1) Shareholders' Funds

(a) Capital

(b) Reserves & Surplus

(2) Loan Funds

(a) Secured Loans

(b) Unsecured Loans

Total

11 Application of Funds

(1) Fixed Assets

(a) Gross Block

(b) Less:Depreciation
© Net Block
(d)Capital Work - in - progress

(2) Investments

(3) Current Assets, Loans and Advances

(a) Inventories

(b) Sundry Debtors

 © Cash & Bank Balances

(d) Other Curent Assets.

(e) Loans and Advances

Less:

Current Liabilities & Provisions

(a) Liabilities

(b) Provisions

Net Current Assets

(4) (a) Miscellaneous expenditure to the extent not w/o

or adjusted

(b) Profit and loss account

Total

Notes:

1 Details under each of the above items shall be given in separate schedules.

2 The figures in the Balance Sheet may be rounded off.

3 The schedules referred to above, accounting policies and explanatory notes that may be attached
shall form an integral part of the Balance Sheet.

4 A footnote to the Balance Sheet may be added to show separately contingent liabilities.
Figures as at the End Figures as at the End
of Current FY of Previous FY