bills payable and bills receivable, those accounts also have to be opened, otherwise the creditors and debtors accounts will not be complete. Books of Mr. Bahadur Trading and Profit and Loss Account for the year ended March , Expenses/Losses Revenues/Gains Opening stock , Sales purchases , , , Credit , , Credit , , , , Wages , Closing stock , Gross profit c/d , , , , , , General expenses , Gross profit b/d , , , Depreciation on motor car , Reserve for bad debts , Net profit , , , , , , Balance Sheet as March , Liabilities Assets Capital , Motor car , Add Net profit , , Less depreciation ( , ) , , , Less Drawings ( , ) , , , , , Bills payable , Less Provision ( , ) , , , , , , , Working Notes: (i) Total Bills Receivable Account Date , Cash (receipt) , , , (bills drawn) , , (ii) Total Debtors Account Amount Date Particulars , Cash (receipt) , , Credit sales , , Bills (drawn) , , , , , , , (iii) Total Bills payable Account Cash (paid) , , , (bills accepted) , , , (iv) Total Creditors Account Amount Date Particulars , , Bills payable , Credit purchases , , , , , , Illustration Dinesh does not keep systematic books of account due to lack of Knowledge about the double entry system of accounting. He supplies you the following information : (i) Assets and Liabilities December , Sundry debtors , , Sundry creditors , ?
, ? Furniture and Fixtures , ? ? Motor Van , ?
(ii) Transaction during the year Cash received from debtors Discount allowed to debtors , Bad debts written off , Cash paid to creditors , Discount allowed by creditors , Sales return Purchases return , Expenses paid , Drawings Rent paid , (iii) Other Information Outstanding expenses Rs. , . Charge per cent depreciation on furniture and per cent on motor van.Dinesh informs that he sells goods at cost plus per cent. A provision of per cent on debtors is to be created.
Prepare his trading and