Question

Prepare a balance sheet of Black Swan Ltd., as at March 31, 2017 form the following information:

General Reserve	:	3,000
10% Debentures	:	3,000
Statement of Profit & Loss	:	1,200
Depreciation on fixed assets	:	700
Gross Block	:	9,000
Current Liabilities	:	2,500
Preliminary Expenses	:	300
6% Preference Share Capital	:	5,000
Cash & Cash Equivalents	:	6,100

Answer 1

Extract of Balance Sheet

as at March 31, 2017

Particulars	Note No.	Amount  (Rs)
I. Equity and Liabilities
1. Shareholders’ Funds
a. Share Capital	1	5,000
b. Reserves and Surplus	2	4,200
2. Non-Current Liabilities
a. Long-term Borrowings	3	3,000
3. Current Liabilities		2,500
Total		14,700
II. Assets
1. Non-Current Assets
a. Fixed Assets
i. Tangible Assets	4	8,300
2. Current Assets
a. Cash and Cash Equivalents	5	6,100
b. Other Current Assets	6	300
Total		14,700

Notes to Accounts

Particulars			Amount (Rs)
1. Share Capital
6% Preference Share Capital			5,000
2.Reserve and Surplus
General Reserve		3,000
Statement of Profit or Loss		1,200	4,200
			4,200
3.Long Term Borrowings
10% Debentures			3,000
4. Tangible Assets
Fixed Assets	9,000
Less: Depreciation	700		8,300
			8,300
5.Cash and Cash Equivalents
Cash			6,100
6. Other Current Assets
Preliminary Expenses			300