Math Problem Solver

From the following ledger balances, prepare Profit and Loss Account of SBI Bank as on 31-3-2024

Particulars Dr. Particulars Cr.

Rs.'000 Rs. '000

Investment in Govt. Bonds 953.7 Share Capital 1910

Gold Bullion 161.3 Current A/c. 980

Silver 30 Employees’ Security Deposit 94.2

Furniture 60 Borrowings from Bank 792.3

Money at call and short notice 270 Fixed Deposits 250.5

Bal. with other banks 473.5 Reserve Fund 1410

Cash in hand and with RBI 760 Profit and Loss A/c. 75

Other investment 566.3 Interest 630

Interest accrued on Investment 256.2 Sundry Income 59

Loans 1820 Commission and Brokerage 263

Bills discounted 135 Discount 430

Interest 89.5 Rent 16

Director's Fees 20 Depreciation Reserve 1-4-2023

Postage 22.5 Furniture 12

Loss on sale of investment 210 Building 18

Branch Adjustment 700 Dividend Fluctuation Fund 5

Audit Fees 60 Unclaimed Dividend 5

Salaries 222

Rent, Rates and Taxes 130

Bills discounted and purchased 5

Loans, Cash Credit and Overdraft 5

6950 6950

Further information as follows

1) included in the current account ledger are amounts overdrawn to the extent o Rs.25,000.

2) Transfer to statutory reserve 25% of current years’ net profit

3) Rebate on bill discounted to be provided is Rs.50,000

4) Depreciation for the year – Building Rs.60,000, Future Rs. 15,000 to be provided.

5) The authorized share capital is 50,000 shares of Rs.100 each of which 25,000 shares were issued.

6) Constituent liabilities for acceptance and endorsement Rs. 5,75,000 and bills for collection Rs. 4,45,000. Liabilities for forward exchange contract was 20,00,000.

7) Provide Rs. 12,000 for bad and doubtful debts

You are required to prepare (i) Profit and Loss Account and the Balance Sheet as per the prescribed schedule of banking companies.